Knowing the correct cost of steam is very important for many reasons, and all of them have to do with improving the company’s bottom line:
1. To properly evaluate the economics of proposed steam system efficiency improvement projects. If the calculated steam cost is not accurate, many feasible energy projects may be missed or rejected, while infeasible projects may be approved for implementation
2. To serve as a basis for optimizing the steam generation system and minimizing costs
3. To provide a true cost for the production areas for accountability in energy consumption
