Sweden Electricity Capacity Integrated Resource Strategic Planning Model

This thesis studies the long-term production capacity planning for Swedenelectricity industry to meet the electricity energy demand and various sustainableenvironment protection requirements. The planning objective is to minimize the longterm capacity investment and operation costs， and the decision variables are theannual utilization hours and the new capacity installations of different productiontechnologies. This optimization model takes into consideration of the demand-sidemanagement and the Sweden electricity’s unique features including existing lowemission production technologies, electricity energy trading in Nord pool spot, andcarbon emission tax. The model extends the linear integrated resource strategicplanning (IRSP) to a nonlinear optimization problem. We collect Sweden long termplanning data, build the model with General Algebraic Modelling System (GAMS), andsolve it by Sparse Nonlinear Optimizer (SNOPT). The optimal solutions show that thedemand-side management through efficiency power plants reduces the total cost, but,interestingly, increases carbon emissions. Finally we discuss a few implications of thesolutions on Swedish national renewable energy policy.