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In response to global issues for the generation and delivery of electrical power, photovoltaic (PV) and other renewable energy technologies are gaining acceptance as a way of maintaining and improving living standards without harming the environment. PV could help mitigate energy crises by reducing peak demand and securing the delivery of power in congested locations by decentralizing the power generation. This article shows the challenges of photovoltaic in restructured power systems. PV technologies could provide more secure mode of operation for power system during peak load hours when the systems are constrained and locational marginal prices are high.