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This paper presents a new methodology for automated route selection for the construction of new power lines, based on geographic information systems (GIS). It uses a dynamic programming model for route optimization. Environmental restrictions are taken into account together with all of the operating, maintenance, and equipment installation costs, including a new approach to the costs associated with the slope of the terrain crossed by the power lines. The computing and visual representation capacities of GIS are exploited for the selection of economic corridors, keeping the total costs under a threshold imposed by the user. Intensive simulation examples illustrate the power and flexibility of the proposed methodology.