The heater market in New Zealand makes use of various sources of energy such as coal, gas, oil and electricity. Most large companies have central boilers providing steam or hot water. This steam or hot water is then fed through pipes to the various points of use. A lot of heat is lost in these pipes, as most of them are not well insulated. Food processing industries are moving away from the operation of large centralised boilers. Point of use systems are now in use as the savings that could be obtained both in energy and running costs are quite substantial. These point of use systems make it possible for boilers to be operated only when they are needed. It also cuts down on the number of personnel involved in maintaining the boiler and the heat losses in the pipes.