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The steam can be used to turn turbines that in turn generate electricity.

The steam is generated by burning coal or some other fossil fuel, or nuclear power.

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Steam under high pressure and high temperature would have pressure energy and thermal energy. As energy can neither be created nor be destroyed and could be changed from one form into another, these form of energy is utilized to run the turbine to generate electrical energy.

In olden days steam was utilized to activate the piston in the cylinder and there by rotate the wheels of the rail engine.

This is how the energy right from steam being used.

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