A systems approach to energy resource planning

Strategic planning is a responsibility of both industry and government and must deal with the complexities of the energy system embedded in the economy and environment. The systems approach can contribute to more rational strategic planning in the energy sector by providing a conceptual framework for discussion and a basis for quantitative analysis. Energy research and development policy is an important component of strategic planning and a comprehensive systems methodology has been developed and applied to this policy area. The Reference Energy System and Energy System Optimization Model were designed for application to strategic planning and have been used in the assessment of new energy technologies. These models and their application are discussed in detail. Extensions of the methodology involving coupling of the energy system model to an economic model are discussed.