Typically, central utility plants (CUP) produce steam/hot water and chilled water on large commercial and academic campuses.
The steam or hot water produced is used for heating, humidification, sterilization, and testing, while chilled water is used for comfort and equipment cooling.
CUPs are often more energy efficient, reliable, and offer operational savings as compared to decentralized boilers and chillers. As more steam/hot water and chilled water are produced, the cost usually decreases.