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This paper proposes a comprehensive approach for bulk power system reliability assessment. Specifically, a framework of security-constrained adequacy evaluation (SCAE) based on analytical techniques is developed to assess the ability of a bulk power system to supply electric load while satisfying security constraints. This approach encompasses three main steps: (a) critical contingency selection, (b) effects analysis, and (c) reliability index computation. Based on an advanced single-phase quadratized power flow, a state linearization approach is developed to improve contingency selection accuracy, and a non-divergent optimal quadratized power flow (NDOQPF) algorithm is proposed to perform contingency effects analysis realistically and efficiently while assuring the convergence of power flow solution. The NDOQPF algorithm is also capable of solving the RTO/ISO operational model in the deregulated environment. In addition, a breaker-oriented system network model is developed, based on which the SCAE framework can include the effects of protection system hidden failures on bulk power system reliability as well. The comprehensive approach is demonstrated with IEEE reliability test systems.