Renewable energy sources are Likely to play a significant role in meeting t
he future energy requirement of a developing country like India. The effect
of introducing renewable energy sources on the commercial energy scene may
have to be analyzed carefully. In this paper, we present an Optimal Renewa
ble Energy Model that minimizes the cost/efficiency ratio and determines th
e optimum allocation of different renewable energy sources for various end-
uses. The potential of renewable energy sources, energy demand, reliability
of renewable energy systems and their acceptance level will determine the
pattern of renewable energy distribution and are used as constraints in the
model. The model allocates the renewable energy distribution pattern for t
he year 2020-21 in India, which would be helpful for policy makers in comme
rcializing the renewable energy sources to the greatest extent. The results
indicate that solar energy systems can be utilized for lighting, pumping,
heating and cooling to an extent of 6%, 16%, 2%, and 12% of total renewable
energy demand in India, respectively. Similarly, the bio-energy systems ca
n be utilized 9% of lighting, 18% of cooking, 1% of pumping, 17% of heating
, and 14% of transportation of total renewable energy demand. It is also ob
served that wind energy can be utilized for pumping end-use to an extent of
4% of total renewable energy demand. The scenario for different potential
limits is presented in this paper. A sensitivity analysis has been also car
ried out to validate the model. (C) 2000 Elsevier Science Ltd. All rights r
eserved.