In the present global scenario the cost of producing the energy by the means of steam has been raising due to increase in the prices of the fuels and other energy sources required for steam production. In the recent times there has been severe shortage of this fuels. Due to this reason most of the modern Industries and power plants are trying to take effective steps for maximum utilization of the steam produced to reduce the costs involved in it. Most of the industries vent low-pressure steam to atmosphere. Use of this steam would result in tremendous saving to the company in terms of fuel-cost, water &its treatment costs. Hence this paper focuses on effective utilization of steam by using a Thermo-compressor.