The proposed project mainly focused on the hot topics in the field of electric power system (EPS) that are not sufficiently solved. These are also very important for the secure operation of the Slovenian EPS: - The laboratory group focused its research activity on simple methods of voltage stability assessment utilizing local measurements. A new voltage collapse proximity index using only local measurements was developed. The proposed method was patented. - We developed a new and efficient concept of local secondary control that is based on artificial neural networks and requires only local information on power system operation. The idea is also appropriate for the distribution system operation and control (demand side management). The proposed method was patented. - We developed a new approach based on power-flow tracing methods that determines the share of every network user in a particular line's power flow based on flow tracing and the statistics of the user's previous network usage. As a result, a power-system user would know the network price before trading begins and more appropriate signal would be given to all the network users. - We developed an expert system that enables determination of fault type and, correspondingly, the state of the power transformer. Moreover, the expert system also deals with the measurements obtained from on-line monitoring equipment as well as diagnostic methods. The research was done in collaboration with ELES and ABB. - The group developed an efficient model of hydro-power-plant scheduling based on artificial neural networks, fuzzy logic and combined methods of evolution and classical optimization. This model was used within the integrated power system planing, which is lacking efficient methods.