This paper describes an integrated mathematical modeling approach to minimize the social cost of dynamically matching electricity supply with demand in the context of resource constrained electricity systems. We present a linear programming formulation of this optimization problem in which the temporal and structural variations in demand are captured through representative daily load curves. The utility focused alternatives, viz. supply, non-supply and new supply of electricity are considered for obtaining supply demand matching. Implementation of such an approach is demonstrated through a case study of the electricity system of Karnataka (a state in India). The analyses presented include a base case (1993-1994) and three scenarios.