INVESTMENT PLANNING FOR ELECTRICITY-GENERATION EXPANSION

Some of the essential features of electricity generation expansion pla nning are discussed here. The emphasis in this paper is on the develop ment of a methodology to analyse electricity planning problems when th e variables are deterministic and stochastic in nature. Our analysis w ith a test problem indicates that if the stochastic nature of supply a nd demand can be specified, a more cost effective electricity generati on expansion plan can be prepared. The proposed methodology is expecte d to be useful for energy planners in modelling and implementing inves tment plans for energy supply. (C) 1997 by John Wiley & Sons, Ltd.