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HHV vs LHV – Energy Basics


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Energy Basics is a series covering fundamental energy concepts.

Posts in this series include the First & Second Law of Thermodynamics.

Two European and British energy engineers are arguing about to calculate the gas consumption of a
boiler. The European engineer wants to assume an efficiency of 89% – the British engineer wants
to assume 80%.

Which one is correct?

Higher Heating Value vs. Lower Heating Value

In the same way that two different currencies can value the same thing with a different amount of the
currency, two conventions exist for quantifying the amount of heat produced in fuel
combustion. These two conventions are the:

– higher heating value (HHV) – also known as gross calorific value (GCV)
– lower heating value (LHV) – also known as net calorific value (NCV)
Figure 1 – A fire-tube shell boiler

These conventions arise from practical engineering realities. Specifically it’s about what happens
to the water vapour produced during combustion. Condensing water vapour releases a lot of
energy.

The gross calorific value (HHV) includes this energy. The net calorific value (LHV) doesn’t include
it. This is why a gross calorific value is higher than a net calorific value.

– HHV = water vapour is condensed = more heat is recovered


– LHV = water vapour remains as vapour – less heat is recovered

The reason for the distinction is that water vapour in combustion products is not often
condensed in practice:

– Steam or hot water boilers – condensing water requires reducing the flue gas temperature low
enough where acids present in the flue gas will also condense out and cause stack corrosion and
potential failure.
– Power generation – water usually remains as a vapour as the temperature within the power
turbine or pistons of the engine is too high.

The two engineers


We return now to the argument between our European and British engineers. Which efficiency (89%
or 80%) is the best assumption?

Table 1 – Typical HHV and LHV efficiencies

Typical efficiencies % HHV % LHV

Gas boiler 80% 89%

Gas engine (2 MWe) 38% 42%

Gas turbine (5 MWe) 28% 31%

The correct assumption depends on how the calculated gas consumption will be used. To calculate
the cost using a UK gas price we would want to have assumed an efficiency of 80 % HHV. This is
because UK gas prices are given on an HHV basis.

Either convention can be used as long as all of our fuel consumptions, efficiencies and
energy prices are given on the same basis. Consistency is crucial.

Most data sheets will specify gas consumption or efficiency on an LHV basis. If you are working in a
country that prices fuel on an HHV basis (such as the UK) that you convert this gas consumption to
an HHV basis.

Summary

Using a fuel consumption on an LHV basis with a HHV gas price can lead to a significant
underestimation of fuel costs.

Using an efficiency or gas consumption straight off a data sheet can easily wipe out the typical
margins expected on energy sale contracts. It can also tip a project IRR below the hurdle rate.

Best practice is to always be specific HHV or LHV when working with fuel consumptions, efficiencies
and prices. Be the engineer who always writes ‘kWh HHV’!

Thanks for reading!


This entry was posted in Energy Basics on October 17, 2016 by Adam Green.

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