E.ON Hanse Wärme is investing about €6.8m in the plant, which is expected to generate 9,500kW of energy for over 21,500 households in the east of Hamburg.

GE’s 10MW class, J920 FleXtra gas engine will be capable of achieving peak values of electrical efficiency of about 48.7%.

The gas engine can produce over 76 million kilowatt hours of electricity a year.

GE and E.ON Hanse Wärme have developed a new CHP concept for the plant, which allows it to achieve a total efficiency of about 95% and generate over 80 million kwh of heat.

E.ON Hanse Group board member Udo Bottländer said: "Decentralized CHP plants play an integral role in the energy transition as they provide an efficient, decentralized way of generating energy.

"With the development of CHP and the implementation of such innovative projects, the E.ON Hanse group is putting an important component of the energy transition into practice in the Hamburg metropolitan region."

E.ON Hanse Wärme, a subsidiary of E.ON Hanse, has about 200 CHP modules in Schleswig-Holstein, Hamburg, Mecklenburg-Vorpommern and northern Lower Saxony.