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This paper proposes a novel method to identify the reactive power transfer between generators and load using modified nodal equations. Based on the solved load flow solution and the network parameters, the method partitioned the Y-bus matrix to decompose the current of the load buses as a function of the generators' current and voltage. These decomposed currents are then used independently to obtain the decomposed load reactive power. The advantages of the proposed methodology are demonstrated by using a simple 3-bus system and the modified IEEE 30-bus system. The proposed methodology provides reasonable and acceptable results to reactive power transfer allocation.