Pilot Energy 05/26/2026 Glossary
1 min read

Heat rate

Category: Markets

A measure of power plant efficiency — the number of BTUs of fuel required to generate one kilowatt-hour of electricity. A lower heat rate means greater efficiency. A natural gas plant with a heat rate of 7,000 BTU/kWh is more efficient than one with a heat rate of 10,000 BTU/kWh.

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