The deregulated power industry has been an ideal for the on line control action in the power network. The optimum and marginal generator dispatch is one of the managerial task to eradicate congestion in the transmission lines. So, in my work optimum power flow, has been chosen as the most versatile technique for system security through economic generated dispatch under all parameter constraints are discussed in chapter two of my thesis. The novelty of my work is to give enough logic that in some real time systems (i) the management of generator scheduling during overloading of the lines or during outage of the elements, (ii) to know the performance index of the lines based on their contingency studies, (iii) to correct overloading by both scheduling and even by load shedding and in the event of bilateral transactions by the market participants through the concept of nodal pricing or locational marginal prices, (iv) Owning the owners for the transactions with financial transmission rights which act as perfect hedge for the congestion surplus, all can relief congestion, are explained through a five bus network.

Dr. Bishaljit Paul, HOD(EE) Narula Institute of Technology.Prof. (Dr.) Chandan Kumar Chanda; Abteilung für Elektrotechnik; IIESET Shibpur. Prof. (Dr.) Jagadish Pal; Fachbereich Elektrotechnik; IIESET Shibpur.