Abstract for: System Dynamics Project: The case of Electricity in Shanghai

The increasing energy demand in China due to urbanization has made study of different energy policies in big cities a crucial topic of discussion. Since the electricity market is a multi-actor system where various actors may have a great influence on the main issue we are focusing on, it is a very complex problem to solve. In order to solve the energy shortage and CO2 emissions problems existed in electricity market, a Shanghai case study was conducted. The model built in this paper was used to forecast the electricity demand and supply under different energy policy scenarios and also to analyze the associated reductions in emissions of CO2. Three different policy strategies were implemented in the model respectively, including: regulating the electricity price, changing the structure of primary energy consumption of the electricity generating system, building up an inter-regional integrated electricity market. The results show that the problems can be mitigated to some extent under these policies.