A master plan was prepared for a Texas university to project facilities for the university through the year 2000. As part of the master plan, the economics of providing a new central heating and cooling plant were studied. At the present time, heating for a portion of the campus is provided by a central steam boiler plant. Cooling is provided at each individual building and some of the buildings also have local heating systems. The first cost of continuing to provide heating and cooling facilities at each individual building in the future compared to the first cost of providing a new central heating and cooling plant along with the associated distribution piping. Operating costs of both methods were also estimated. The central plant concept shows a relatively short payback on the initial investment.

KEYWORDS: modernising, central heating, cooling, air conditioning, universities, buildings, economics, costs, payback period, USA, operations, case studies.