International Journal of Engineering and Technology

In deregulated power industry, the real time pricing of real power has an important issue to create fair open access and great impact of efficient and economics operation of deregulated electricity market. FACTS devices can be used to control the power flows. Therefore the optimal allocation of FACTS device can be used to achieve the optimal power flow without any constraints violation and thus to increase the utilization of the lowest cost generation in power system network. This paper proposes a new method of optimal placement of Unified power flow controller (FACTS) devices in Deregulated Electricity Market using Evolutionary Programming. Using proposed method, the allocation of UPFC devices and ratings are optimized. The main objective function is to minimizing the overall system cost, which includes the investment cost of UPFC device and bid offers of the market participants. The effectiveness of the proposed method is demonstrated on IEEE 14-bus system.