We describe initial results from a time-dependent, semi-kinetic model of plasma outflow incorporating wave-particle interactions along current-carrying auroral field lines. Electrostatic waves are generated by the current driven ion cyclotron instability (CDICI), causing prependicular velocity diffusion of ions plus electron heating via anomalous resistivity when and where the relative drift between electrons and ions exceeds certain critical velocities. Using local bulk parameters we calculate these critical velocities, and so are able to self-consistently switch on and off the heating of the various particle species. Due to the dependence of these critical velocities on the bulk parameters of the species the heating effects exhibit quite complex spatial and temporal variations. A wide range of ion distribution functions are observed in these simulations, including conics with energies of a few electron volts and 'ring' distributions. The rings are seen to be a natural result of transverse heating and velocity filter effects and do not require coherent acceleration processes. We also observe the formation of a density depletion in hydrogen and enhanced oxygen densities at high altitudes. ¿ American Geophysical Union 1991