The Gloucester County Utilities Authority (GCUA) has finished installing a combined heat and power (CHP) system at its wastewater treatment facility. The project was funded by approximately $14 million in loans from the New Jersey Water Bank, which is managed by the New Jersey Department of Environmental Protection and the New Jersey Infrastructure Bank.
The financing arrangement allows for $2 million in principal forgiveness due to the project’s focus on energy and water efficiency. Over the 30-year term of the loan, total savings are expected to reach $8,319,897. This figure represents about 60% of the overall project costs compared to independent financing by the authority.
Frank DiMarco, Director of the Gloucester County Board of Commissioners, said, “This project represents a major step forward for our county. By turning waste into clean energy, we’re not only cutting costs at the wastewater treatment facility but also reducing our environmental footprint.”
He added, “None of this would be possible without the support of the New Jersey Water Bank, whose partnership makes it easier for communities like ours to invest in resilient, sustainable infrastructure. Together, we’re protecting ratepayers from rising energy prices and ensuring a cleaner, stronger future for generations to come.”
Construction of the CHP system led to an estimated 166 direct single-year construction jobs.
The CHP system uses biogas produced during wastewater digestion as a fuel source. This gas is processed through a conditioning system before being used in combustion engines connected to 1,000 KW power-generating units. Unlike conventional power plants that lose much of their heat output, this system captures excess heat for use in heating buildings or powering other treatment processes at the facility.
By generating electricity on-site and using captured heat efficiently, GCUA expects to reduce dependence on external electrical sources and move toward net-zero energy operations.
Remington Vernick Engineers designed the project while Pioneer Pipe Contractors, Inc., Scalfo Electric, Inc., and Eastern Environmental Contractors handled construction.
