The main objective of presented article is here to focus how efficiently minimise the deviations in frequency and area control error caused by load fluctuations and uncertainties in load under the deregulated power system. This work is carried out to eliminate the frequency errors by using fractional order proportional integral (FOPI) controller under deregulated environment by considering the effect of one possible bilateral contract scenario. Because of system nonlinearities, uncertainties and continuously fluctuant load demand the design of these controllers is quite complicated in deregulated environment. The proposed work is to enhance the system parameters like transmitted line power, frequency deviation error, and area control error (ACE) using fractional order PI controller for hydro-thermal system and thermal-thermal system under deregulated environment. The results have been analysed with classical integer order PI controller and FOPI controller. It is observed that the efficacy of the results is satisfied and improved when compared with previous work.
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