The working principle of the organic Rankine cycle is the same as that of the Rankine cycle: the working fluid is pumped to a boiler where it is evaporated, passed through an expansion device (turbine, screw, scroll, or other expander), and then through a condenser heat exchanger where it is finally re-condensed.

An Organic Rankine Cycle (ORC) system is a closed thermodynamic cycle used for power production from low to medium-high temperature heat sources ranging from 80 to 400°C and for small-medium applications at any temperature level.

The organic Rankine cycle is is similar to the Rankine steam cycle, but uses an organic fluid such as refrigerants and hydrocarbons instead of water as the working fluid. The ordinary Rankine cycle uses thermal power to convert water to steam, which expands through a turbine in order to generate electricity.

This process was developed in 1859 by Scottish engineer William J.M. Rankine. This is a thermodynamic cycle which converts heat into mechanical energy—which usually gets transformed into electricity by electrical generation.