An exhaust gas recirculation (EGR) system and a method for recirculating an exhaust gas stream from an outlet to an inlet of a turbomachine are provided. The EGR system includes a guide element to channel the exhaust gas stream from the inlet to the outlet and a Rankine cycle system through which a working fluid is circulated. The Rankine cycle system including serially a high temperature heat exchanger in heat exchange relationship with the guide element; an expansion device coupled to a generator; a low temperature heat exchanger in heat exchange relationship with a cooling medium; and a pump. The exhaust stream at the outlet has a first temperature and the exhaust stream downstream of the high temperature heat exchanger has a second temperature that is lower than the first temperature.