Optimal phasor measurement units (PMUs) placement involves the process of minimizing the number of PMUs needed while ensuring the entire power system completely observable. A power system is identified observable when the voltages of all buses in the power system are known. This paper proposes selection rules for topology transformation method that involves a merging process of zero-injection bus with one of its neighbors. The result from the merging process is influenced by the selection of bus selected to merge with the zero-injection bus. The proposed method will determine the best candidate bus to merge with zero-injection bus according to the three rules created in order to determine the minimum number of PMUs required for full observability of the power system. In addition, this paper also considered the case of power flow measurements. The problem is formulated as integer linear programming (ILP). The simulation for the proposed method is tested by using MATLAB for different IEEE bus systems. | Optimal PMU placement using topology transformation method in power systems