[en] To provide assistance to its developing Member States in carrying out integrated power system expansion analysis, the International Atomic Energy Agency (IAEA) has developed the computer model called WASP (Wien Automatic System Planning Package). The WASP model has proven to be very useful for this purpose and is accepted worldwide as a sound tool for electricity planning. Notwithstanding its many advantages, certain shortcomings of the methodology have been noticed, in particular with regard to representation of hydroelectric power plants. In order to overcome these shortcomings, the IAEA decided to acquire the computer model called VALORAGUA, developed by the Electricidade de Portugal (EDP), for optimizing the operating strategy of a mixed hydro-thermal power system. This program, when used together with WASP, would allow economic optimization of hydro-thermal power systems with a large hydro component. The objective of the present document is to assist in the use of the VALORAGUA model and its auxiliary codes, as well as to clarify the interconnection between VALORAGUA and the WASP-III model. This report is organized into five main chapters. The first chapter serves as an introduction to all remaining chapters. Chapter 2 defines the input data needed for every component of the electric power system. Chapter 3 presents the output variables of the model within the standard output tables that can be produced by VALORAGUA. Chapter 4 describes in detail all the input data needed by each program. It also includes the list of computer input data corresponding to the example described in Chapter 5, which is used to illustrate the execution of the VALORAGUA modules. Description of how to prepare the hydro data for the WASP-III model from the results obtained with the VALORAGUA model is given in Appendix A. Some auxiliary programs of the VALORAGUA model system, developed by EDP to help the user with the input data preparation, are described in Appendix B. Refs, figs and tabs