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In two areas of major importance to the electric power industry-interconnected system operation and steam-electric energy conversion--on-line computer use has expanded during the past five years to applications of increasing complexity and importance. In systems operation, direct digital control is now in successful operation, and many aspects of system security are now monitored by centralized computers. In generating plants on-line computer use has progressed beyond simple data logging; it currently includes some closed-loop control applications, and will be applied to complete boiler control with assemblies now being installed. Simulation and analysis have played an important role in these advances in the application of on-line digital computers.