Power system planning is often divided into generation planning, transmission planning, and distribution planning, all of which will be introduced in the following sections.
The aim of generation planning is to seek the most economical generation expansion scheme that achieves a certain reliability level according to the forecast of demand growth in a certain period of time. The mathematical model of generation planning generally consists of two parts: the power plant investment decision, and power system operation planning. The mathematical models of power system optimal planning and operation are always high-dimensional, nonconvex, discrete, and nonlinear, and thus solution is difficult. The approaches of integer programming, nonlinear programming, network flow optimization, and stochastic optimization have been successfully applied to them [95–105].
A number of successful generation planning models have been presented, which include the Wien Automatic System Planning Package (WASP) of the International Atomic Energy Agency  and the Jiaotong Automatic System Planning Package (JASP) of Xi'an Jiaotong University, P.R. China .
WASP optimizes the generation planning according to generating unit categories, which neglects the effect of the geographical distribution of system load and power plants. These types of models only take into account the influence of the difference in ...