In CHP generation a wide variety of fuels can be used, including those with a low calorific value and high moisture content, such as industrial wastes and bio fuels. The most commonly used fuels are coal, natural gas, industrial waste, wood and peat. Oil is used sparingly, usually only as supplement to other fuels.

Traditionally, bio fuels have been used in CHP generation, mainly in connection with forest industry processes. For many reasons, CHP applications are an ideal use for bio fuels. Because their calorific value is low, the transport of bio fuels is costly, so these fuels tend to be local fuels. CHP plants also have a local nature. 

In the future, the fuel mix used in CHP plants will change considerably. Natural gas and bio fuels will largely be used as substitutes for coal and oil.

Example: The Forssa power plant relies on wood

The Forssa Biopower Plant is the first CHP district heating plant in Finland to be fuelled entirely by wood. In industrial applications wood has been used in wide extent. The fuel is burnt in a fluidised bed boiler. In fact, the technology permits the use of practically all other available fuels.

The plant produces 48 MW heat and 17 MW electricity for the town of Forssa. Is is owned and operated by Forssan Energia Oy.

The primary fuel is woodworking industry waste, including sawdust and bark, together with forest chippings and building waste. When wood is burnt in the fluidised bed boiler there are no sulphur emissions and the nitrogen oxides emissions are very low