Abstract
This paper describes an econometric approach to forecasting future demands and recent innovations in the computer programmes developed to determine the optimum mix and operating costs of generating plant needed to meet these demands with a specified degree of reliability. The versatility of the programmes is demonstrated by examples of application to specific problems and comments are given in respect of the economic plant mix and set size for the South African system and the cost implications of availability, efficiency and measures needed to control air pollution. Mention is also made of an application of the programme in an unusual situation where it was required to make partial use of a pumped storage installation to pump water for the Department of Water Affairs.
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