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How To Calculate The True Cost of Steam

Knowing the correct cost of steam is important for many reasons, and all of them have to do with improving the company’s bottom line, including: •To properly evaluate the economics of proposed process efficiency or capacity-improvement projects; if the calculated cost is not accurate, many good energy projects may be missed or rejected, and bad projects may be approved for implementation •To serve as a basis for optimizing the steam generation system, and minimize costs •To ensure more effective negotiations with the utility or third party Independent Power Producers •To properly evaluate proposed cogeneration projects. Steam is used for a variety of applications in commerce & industry

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