The spatial system dynamics model (SSDM) of sugarcane industrial ecosystem presented in this paper is towards an integrated approach to simulate a bio refinery system suggesting directions for bagasse and trash-derived electricity generation. The model unpacks the complexity in bio-derived energy generation across the conversion pathways of the system from land use change, sugarcane production, and harvesting and electricity production amid a plethora of challenges in the system. Input data for land use and sugarcane production in the model were derived from remote sensing and spatial analysis. Simulated and validated results indicate that the alternative scenario of combined bagasse and trash with enhanced mechanisation and technology efficiency provides the highest efficiency in terms of electricity generation and emission avoidance compared to the business as usual or base case scenario. The applied SSDM demonstrates that modeling of feedback-based complex dynamic processes in time and space provide better insights crucial for decision making. This model provides a foundation for the broader study for cost benefit analysis of electricity production from a sugarcane industrial ecosystem. (C) 2016 Elsevier Ltd. All rights reserved.