I. Introduction
One of the major problems in power system operation is related to the small-signal oscillatory instability caused by insufficient natural damping in the system. The most cost-effective way of countering this instability is to use auxiliary controllers called power system stabilizers (PSS), to produce additional damping in the system [1], [2]. The concept of PSS and their tuning procedures are well explored in [1]–[4]. The fixed gain stabilizers perform reasonably well if they have been tuned properly [5]. Though these stabilizers have simple robust structures, tuning them either by computer simulation modeling [2], [4] or by actual field tests [3] is an involved process which requires considerable expertise and also a knowledge of system parameters external to the generating station. These parameters may not be readily available and may vary during normal operation of the power system. Even in the case of single machine infinite bus model, estimates of equivalent line impedance and the voltage at the external bus are required. The PSS design also requires information of the rotor angle measured with respect to an external bus. These parameters cannot be measured directly and need to be estimated based on reduced order models of the rest of the system connected to the generator. If the available information for the rest of the system is inaccurate, the conventionally designed PSS results in poor system performance.