This paper presents Sensitivity constrained placement of unified power flow controller (UPFC) considering active-power flow sensitive index (APFSI) and static voltage stability index (STATIC-VSI) to minimize active-power losses and to improve power transmission capacity. The sensitive factors are derived with respect to voltage, phase angle and current to formulate APFSI. Transmission line impedance parameters along with active and reactivepower flow measurements are considered to formulate static-VSI. Sensitivity constrained differential evolutionary (SCDE) algorithm is proposed for parameter setting through which power control and minimization of losses in system can be achieved. Testing is performed on IEEE-5, 14 and 30-bus networks in MATLAB and results indicate that SCDE is robust optimization technique compared to conventional method and genetic algorithm (GA)
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