A dissipation transport equation for the carrier phase turbulence in particle-laden flow is derived from fundamental principles. The equation is obtained by volume averaging, which inherent v includes the effects of the particle surfaces. Three additional terms appear that reveal the effect of the particles; these terms are evaluated using Stokes drag law. Two of the terms reduce to Zero and only one term remains which is identified as the production of dissipation due to the particles. The dissipation equation is then applied to cases where particles generate homogeneous turbulence, and experimental data are used to evaluate the empirical coefficients. The ratio of the coefficient of the production of dissipation (due to the presence of particles) to the coefficient of the dissipation of dissipation is found to correlate well with the relative Reynolds number. (C) 2009 American Institute of Chemical Engineers AIChE J, 55: 1416-1425, 2009