The paper discusses congestion management in deregulated power systems, highlighting the importance of thyristor controlled series capacitors (TCSC) for mitigating transmission issues caused by high power demand. It presents a method for determining optimal TCSC locations based on sensitivity analysis and locational marginal pricing (LMP) to minimize congestion rent and generation costs. The findings, validated through simulations on the IEEE 9 bus system, demonstrate the effectiveness of TCSC in enhancing power transfer capability and reducing overall costs.