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We use fuzzy set theory and genetic algorithms to solve the loop flow problem of an interconnected electrical power transmission system. The problem gains importance when an interconnected power transmission system is operated at or close to its power-carrying limits. We handle the constraints and objectives in a fuzzy environment and solve the resulting optimization problem using genetic algorithms. In this paper we present the results of the effects of different fuzzy membership function forms on this problem. The slope of trapezoidal membership function has different effects. We present the effect of exponential membership function, different slopes of a trapezoidal function and that of varying acceptable regions of a trapezoidal function. Tests are applied to IEEE 30 bus system and the results are presented.