Improvement of the energy conversion processes efficiency helps to achieve a more reliable energy supply, a cleaner environment, more competitive businesses, and higher living standard. Industry data indicate significant potential for improving the efficiency of steam systems and minimizing their operating costs by implementing various measures. The present work is a result of a systematic approach for energy performance analysis and identification of opportunities for optimizing the steam-condensate system of the combined heat and power plant ESM Energetika, Skopje, North Macedonia. The boiler plants provide superheated steam used in a hot-water station for the district heating system, for electricity generation, and as process steam for industrial customers. As the main operating costs of the plant stem from the natural gas consumption, the implementation of a set of energy efficiency measures will lead to its reduction, accompanied by less environmental impact. As a result of the system analysis, a number of energy efficiency measures have been identified. For each measure, the impact on individual parts of the system, as well as on the system as a whole, is evaluated using the steam system modeller tool. This paper elaborates some of the identified measures that are considered more reliable from an operational and financial aspect, mainly focused on steam production for the district heating system. Based on a conservative approach, significant potential for savings of natural gas, electrical energy, and treated water is estimated, which will lead to annual financial savings of about 245000 Euro.