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This paper discusses the impact of dc transmission voltage drops on the distribution of dc grid balancing power when dc voltage droop control is applied. DC line voltage drops in a multiterminal VSC-HVDC (MTDC) system result in nonuniform variations of dc bus voltages when changes in dc grid power flow occur. This in turn affects the distribution of instantaneous balancing power in a MTDC that uses dc voltage droop control. The values of dc voltage droop constants determine the degree of impact that dc voltage drops will have on the sharing of balancing power in the dc grid. In this paper, an analytical expression for estimating the distribution of balancing power which accounts for dc line voltage drops is derived. A five-terminal MTDC was modelled in PSCAD for demonstrating the effects of dc line voltage drops as well as for validating the proposed analytical expression which estimates balancing power distribution.