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Allocating means of transmission losses and costs are presented taking into account pool and bilateral contract hybrid deregulated power market. The transmission loss is allocated according to a mathematical relationship between the node power and the line power flow for a DC power network. By the proposed method, the authors not only can allocate total loss to either generator or load node, respectively, but also can distribute it to both generator and load nodes conveniently. To ascertain the effectiveness of the proposed techniques, the authors show various simulation results based on IEEE 14-bus and Hokkaido 44-bus power systems.