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We went full-steam ahead to the Yahoo! Search box to find out what's with all that white stuff billowing up from manholes and grates. It led us to an informative article from the Straight Dope. According to the Dope the steam actually comes from (get this) steam. In many cities, steam is generated in a central plant and sent by underground pipes to the surrounding area to heat homes and office buildings. In the Big Apple, Con Edison, New York's energy utility, supplies the steam that courses through pipes and mains beneath the city and keeps Wall Street warm and toasty in the winter. Sometimes the pipes have a small leak, causing the steam to rise through manhole
covers and grates. Because of its efficiency and low cost, the use of steam for heating is also popular among many colleges. A central heating plant supplies the steam that is piped to buildings throughout the campuses. And the steam rising from manholes gives the students a little extra warmth as they rush to class.
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