Yangka, Dorji creator Shrestha, Ram M. Chairperson Kumar, Sivanappan Examination Committee Mithulananthan, N. Examination committee Austrian Development Agency Scholarship donor text series technical report th Pathum Thani, Thailand Asian Institute of Technology 2008 continuing eng 99 p. : ill. + 1 online resource Energy models are widely accepted as a decision support tool. In this study a long term energy system model for Bhutan was developed under the MARKAL model framework. This study basically highlights the future energy pathways under the least cost energy system configuration and under three non base case scenarios. Under the least cost energy system, it is expected that the dependency on the imported fossil fuel will increase with its share in the primary energy supply rising from 27% in 2005 to 43% in 2040. In the planning period, biomass is expected to reach its maximum sustainable yield. Electricity demand is expected to grow at an annual average rate of 8.3%. Implications of three simple alternative scenarios were analyzed. In the electric cooking scenario significant reduction in biomass and kerosene demand is expected which subsequently leads to reduction in CO2, SO2 and NOx emission levels. In the extreme electric cooking case, total primary energy supply reduces by 14% but the total system cost increases by 1.3%. In the partial electrification of the transport system, when the capital cost of battery electric vehicles were reduced by 25%, then electric vehicles take over the ICE vehicles and subsequently reduces the diesel import by 15% over the base case. However this transition requires 132 MW of additional electricity demand by 2040. The effect of the combined scenario of electric cooking and electrification of transport system was done. As expected the impacts were greater compared to when each policy were deployed separately. Inference from the model result under base case and non base cases shows that at the existing {u2018}arranged price{u2019} the model prefers to import electricity than to invest in hydro power plants in meeting the increasing electricity demand during the planning period. This study can be taken as the stepping stone for highlighting the likely energy issues in the future. To assess all possible future scenarios is beyond the scope of this work. Nevertheless this study may be treated as a baseline for detail analysis of other numerous alternative energy pathways and assess their corresponding impacts and subsequent decision that may be taken. With better and more realistic assumptions and refined data, and involving team work could further improve the model. Energy policy implications can be studied at the national level, sector level as well as at the end use demand level. A consistent and constant updating may be very much necessary. A thesis submitted in partial fulfillment of the requirements for the degree of Master of Engineering in Energy Economics and Planning Thesis (M.Eng.) - Asian Institute of Technology, 2008 Energy development Bhutan Electricity in transportation Bhutan Asian Institute of Technology. http://203.159.5.9/ait-thesis/detail.php?q=B02195 http://203.159.5.9/ait-thesis/detail.php?q=B02195 100218 20260818134534.0