Power quality is an issue that is becoming increasingly important to electricity consumers at all levels of usage. In this paper, a new power quality index is proposed for power quality improvement considering zones using FACTS devices. In this paper, transmission congestion distribution factors based on sensitivity of line real power has been proposed to identify the congestion clusters. This presents an optimal allocation method for Static Var Compensator based on sensitivity method. The effectiveness of the proposed method is tested and verified on 124 bus Indian Utility System.
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