We present a new energy decomposition scheme, which decomposes interaction
energies into electrostatic, polarization, and charge transfer contribution
s. The method is founded on the divide and conquer approach but is only pro
ne to errors introduced by the basis set and the applied Hamiltonian. We il
lustrate the method by AM1/PM3 interaction energy decompositions on bimolec
ular systems and 64 water systems. Our decomposition scheme also allows for
screening of charge transfer or charge transfer and polarization from inte
rmolecular interactions. Screening of these interactions is illustrated by
the charge analysis of a screened 64 water system. Our calculations indicat
e the importance of charge transfer, even for intermolecular separations 0.
5-1.0 Angstrom from equilibrium.