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This paper deals with the tuning of AGC of an interconnected power system using genetic algorithms (GA). A two-area AGC system is considered for study and both the areas are considered to be equipped with PID controllers. Parameters of these PID controllers are obtained using a novel genetic algorithm based optimization technique. For comparison, the same parameters are also tuned using the Ziegler-Nichols method. The performance of the proposed controller has been compared with the performance of the conventional integral controller in order to demonstrate the superiority of the proposed GA based PID controller.