The formulation of Lyapunov function is necessary to analyze the stability of a system. This paper presents an idea for formulating generalized Lyapunov function for the stability analysis of interconnected power systems. Lyapunov function is formulated based on the total energy of power system where the system is considered as a single machine infinite bus (SMIB) system. The negative definiteness of the derivative of proposed Lyapunov function is proved through the application of zero dynamic control law. This paper also presents the formulation of control Lyapunov function to design a excitation controller for the generator. The performance of control Lyapunov function based excitation is tested on the SMIB system.
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