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Rewards of Propane Energy in Your Commercial Facilities
Power losses and increasing costs of electricity require commercial and industrial companies to adopt energy options that are reliable and affordable. The Alternative Technology Demonstration & Research Program is designed to collect data from participating commercial and industrial businesses to inform research about propane use in the commercial building industry, specifically with propane cooling and combined heat and power equipment.
The Propane Education & Research Council’s Alternative Technology Demonstration & Research Program is designed to collect data from participating commercial and industrial businesses to inform research about propane use in the commercial building industry, specifically with propane cooling and combined heat and power equipment.Alternative Technology Demonstration & Research Program is designed to collect data from participating commercial and industrial businesses to inform research about propane use in the commercial building industry, specifically with propane cooling and combined heat and power equipment.
COMMERCIAL BUILDING HEAT
Many commercial HVAC systems use propane furnaces to efficiently heat commercial buildings. These furnaces offer flexible capacities, ranging from about 44,000 to 180,000 Btu/h for smaller units, while larger commercial models can exceed 30 million Btu/h.
High-efficiency propane furnaces capture additional heat from combustion gases to improve performance and often operate as two-stage or variable-speed systems for steady comfort. Many systems also use zoning with multiple smaller units, such as rooftop units (RTUs), allowing different areas of a building to be heated more efficiently and controlled independently.
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COMMERCIAL WATER HEATING
Commercial propane water heating systems are widely used in restaurants, hotels, schools, laundromats, and multifamily buildings that require dependable hot water throughout the day.
Propane systems are available as tankless units, storage tank heaters, or hybrid systems, allowing building owners to match equipment to their facility’s hot water demand and space requirements. Propane tankless water heaters produce hot water on demand, helping reduce standby energy loss while delivering strong recovery rates during peak use periods. Many commercial systems can also be installed in rack configurations to increase capacity and redundancy. According to the Propane Education & Research Council, propane water heating systems provide efficient, scalable performance for commercial applications.
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GENERATORS / COMBINED HEAT & POWER
A combined heat and power system uses propane-powered engines to generate on-site electricity while capturing thermal energy for heating and hot water. Excess electricity can be sent back to the grid, ensuring dependable heat and power without relying on the electric grid. Unlike centralized electrical generation plants that operate at only 33 percent efficiency, CHP systems capture heat and achieve total system efficiencies of 60-80 percent for producing electricity and useful thermal energy.
Some systems can achieve efficiencies approaching 90 percent. Almost no energy is lost as it travels from tank to application. They are ideal for medium-scale sites needing high efficiency heat and power and offer continuous runtime.
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BACKUP POWER GENERATION
Many industries are shifting away from direct fuel use and toward electricity in an effort to reduce greenhouse gas emissions. In the building sector, this has fueled a strong push for decarbonization, led by architects, certification programs like LEED and ENERGY STAR, and broader net-zero goals. As extreme weather events become more common, the urgency behind these efforts has grown. But this conversation often leaves out propane. While fuel-based systems are frequently viewed as part of the problem, propane can also play a practical role in lowering emissions, supporting resilience, and helping facilities pursue energy goals with technologies available today.
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IRRIGATION ENGINES
Propane irrigation engines are used to power farm irrigation systems, helping move water when crops need it most. They stand as an option for growers who want dependable pumping power without relying on the electric grid, which can leave irrigation vulnerable to shutoffs or interruptions. These engines can lower fuel and equipment costs compared with diesel, with new propane engines typically costing 20% to 40% less up front and delivering fuel savings of 40% or more in many cases. Propane irrigation engines can produce up to 18% fewer greenhouse gas emissions than gasoline and diesel alternatives, avoid EPA spill-prevention planning tied to liquid fuels, and provide 10% more horsepower per unit than natural gas.
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