Absorption systems have the potential of employing thermal energy such as waste heat to produce both chilled water and hot water for building cooling and heating applications. In the present study, a lithium bromide/water (LiBr/H2O) absorption system for cooling and heating applications was analysed on the basis of the first and second laws of thermodynamics. Simulation was employed to determine the coefficient of performance (COP) and the exergetic efficiency of the absorption system under different operating conditions such as the heat source, cooling water, chilled water, and supply hot water temperatures. Copyright (C) 2001 John Wiley & Sons, Ltd.