How to maintain the optimal electric power generation mix is one of the important problems in electric
power industry. The objective of this study is to develop a computer model which can be used to forecast
the investment in power generation unit by the plant owners after restructuring of electric power industry.
Restructuring of electric power industry will make difference in decision making process of investment in
power generation unit. After Privatiazation of Power Industry, Gencos will think that profit is the most
important factor among all others attracting the investment in the industry. Coal power generation is
better than LNG CCGT in terms of profit. However, many studies show that LNG CCGT will be main
electric power generation source because the rest of factors other than profit in LNG CCGT are superior
than Coal power generation.
The impacts of the various government policies can be analyzed using the computer model, thus the
government can formulate effective policies for achieving the desired electric power generation mix.