The paper reviews literature which addresses the application of Flexib
le AC Transmission System (FACTS) concepts to the improvement of Power
System utilisation and performance. It summarises literature on using
high speed thyristor based control of HVAC power system elements to e
nhance the power carrying capacity of existing transmission circuits w
ithout compromising reliability. It describes a study system represent
ative of existing power systems that has been developed to evaluate th
e economic and technical issues of loading transmission lines to their
thermal limits. Considered are two scenarios, a multi-line corridor a
nd a long radial interconnection, where the issues addressed are trans
ient and dynamic stability, power flow control, reactive support and v
oltage stability. A benchmark. system is developed to validate perform
ance of the more simple devices. It is concluded that FACTS devices ha
ve the potential to significantly increase system stability margins th
ereby increasing loading capability of existing transmission corridors
such as between Scotland and England. Economic evaluations of the app
lications reviewed in the literature show that FACTS devices are attra
ctive when compared with the other methods of achieving similar perfor
mance objectives.