Incorporating environmental concerns into electric system expansion planning using a multi-criteria decision support system

Abstract

A methodology is described for incorporating environmental externalities into electric system expansion planning. It combines a conventional least–cost optimisation tool, an environmental model, and a multi–criteria interval decision analysis system. The methodology can be used to analyse trade–offs between technical, economic, and environmental concerns. A case study in support of an international lending decision is used to analyse eleven power–sector expansion scenarios in terms of total system cost and environmental residuals. The scenarios are then compared by using a decision analysis tool. A brief comparison of interval and traditional decision analysis methodologies is also provided.