The utility generates Watts and Vars. Watts cost them fuel, as Watts do real work (rotation of motors, heating coils, etc). VARs don't cost them fuel, as they are circulating currents between electrical devices and are "out of phase" with the voltage wave form. Those VARs do serve the purpose of magnetizing the cores of the induction devices allowing the watts to do work. But, the utility "generates" both.
The full VTXB company story and plans for future growth are well described in the latest audio interview below. Everyone should be sure to review this presentation.