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Energy is normally used in a converted form. The general pattern is to buy fuel and convert it on-site into steam, hot water etc, and to buy electricity separately from the public supply ready converted. The conversion of fuel to electricity in the conventional power station produces large quantities of heat which cannot be used and are therefore rejected to waste. As a result, electricity produced in this way represents only a third of the original heat in the fuel and obviously must be reflected in the price. However, overall energy savings of between 20 and 40% are achievable if power generation is located where the heat produced is also used. The output then represents about four fifths of the original heat in the fuel and the combined cost of heat and electricity is lower than when buying separately.