Energy efficiency improvement and waste heat utilization in power generation and energy intensive industrial applications are in the main focus of the researchers and engineers nowadays. A great deal of experience was gained by the industrial leaders such as ORMAT, Siemens, Caterpillar, Turboden, and others. However, the commercially and semi-commercially available systems for waste heat utilization have certain restrictions that limit the utilization cycle efficiency to approximately 18%. The paper presents an innovative concept of waste heat utilization system that allows reaching the utilization cycle efficiency up to 28–30% employing low-boiling media such as butane, propane, pentane and others. Applying such a concept to Distributed Generation systems the overall energy efficiency could be boost up to 58–60% and further up to 90% in case of CHP production.