I. Introduction
Modern power systems are increasingly being operated close to their stability limits due to the increase in the penetration level of renewable energy sources, market forces, and recent advances in computation and communication technologies. In composite system reliability evaluation, following a contingency, faulted components are assumed to be disconnected from the grid immediately and the system is assumed to return to a stable state with suitable generation rescheduling for minimum load curtailments. Although the generation rescheduling optimization problem may converge to a feasible solution representing a steady-state operating point, a stable transition to a post-fault Stable Equilibrium Points (SEP) is not guaranteed. Therefore, transient stability assessment is an important factor that should be considered in evaluating the reliability of a given system. However, transient stability assessment is computationally expensive and for this reason system dynamics are often ignored in reliability evaluation.