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This paper develops a systematic procedure of designing global power system stabilizers (GPSSs) based on collocated control to enhance the damping during interarea oscillations. The availability of remote signals from phasor measurement units (PMUs) enables the wide-area control in large scale systems. The closed loop eigenvalues are excluded from a region of the complex plane by the collocated control algorithm guaranteeing that low frequency modes must be damped. The optimum locations for GPSSs were selected using controllability. The damping performance of a 16-machine, 68-bus study system reinforced with GPSSs is examined in the frequency and time domains. The simulation results show that the control scheme is able to damp out interarea oscillations following possible disturbances.