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A method of analyzing weather sensitive electric loads and energy is presented which can be utilized in long- and short-term forecast applications. The method has application to power systems containing geographically diverse climate areas and can be utilized in all seasons of the year. The method is well adapted for utilization in on-line system operation and production scheduling. On-line experience with the method has been favorable, producing a forecasting error of approximately 2.0 percent during the highly weather sensitive summer load period.