AN INEXACT TWO-STAGE STOCHASTIC PROGRAMMING MODEL FOR WATER RESOURCES MANAGEMENT UNDER UNCERTAINTY

Abstract An inexact two-stage stochastic programming (ITSP) model is proposed for water resources management under uncertainty. The model is a hybrid of inexact optimization and two-stage stochastic programming. It can reflect not only uncertainties expressed as probability distributions but also those being available as intervals. The solution meth od for ITSP is computationally effective, which makes it applicable to practical problems. The ITSP is applied to a hypothetical case study of water resources system operation. The results indicate that reasonable solutions have been obtained. They are further analyzed and interpreted for generating decision alternatives and identifying significant factors that affect the system's performance. The information obtained through these post-optimality analyses can provide useful decision support for water managers.