An economic model for the appraisal and selection of energy supply system

Economic evaluation of different energy supply systems (district or local heating by natural gas) in Serbia is considered in this paper. According to variety of Serbian settlements (in density, size and layout of buildings) model which has ability to represent their different characteristics is formed. Model is based on identification of smaller urban areas with identical or similar characteristics and their representations with one of predefined nominal urban areas. For various nominal urban areas preferred type of energy supply system was selected. Obtained results formed matrix of preferred type of energy supply system (district or local heating) for different urban structures. This models’ matrix could be simple and useful tool for initial decision about energy supply system.