Because of the uncertainty of Runoff, the year generation schedule for hydropower enterprise has some certain risks, which may influence the economic benefits of hydropower. So it has become a major concern for hydropower enterprises to evaluate the risk and the profit of the year generation schedule, and build the compromised generation schedule to maximize the profits and minimize the risks incurred. In order to resolve this problem, a new model based on runoff frequency is developed for building optimal generation schedule with risks taken into account. The probability analysis and group decision making method are used in the process of evaluating the risk and profit of the generation schedule, and the method for solving the problem is presented. At last an example is given to demonstrate the feasibility of the developed model and methods.
