This paper discusses how the control of the flow and the supply temperature in district heating systems can be optimized, utilizing stochastic modelling, prediction and control methods. The main objective is to reduce heat production costs and heat losses in the transmission and distribution net by minimizing the supply temperature at the district heating plant. This control strategy is reasonable, in particular, if the heat production takes place at a combined heat and power (CHP) plant. The control strategy is subject to some restrictions, e.g. that the total heat requirement for all consumers is supplied at any time, and each individual consumer is guaranteed some minimum supply temperature at any time. Another important restriction is that the variation in time of the supply temperature is kept as small as possible. This concept has been incorporated in the program package, PRESS, developed at the Technical University of Denmark. PRESS has been applied and tested, e.g. at Vestkraft in Esbjerg, Denmark, and significant saving potentials have been documented. PRESS is now distributed by the Danish District Heating Association.