This document is a project report submitted by four students for their Bachelor of Engineering degree. The project investigates the optimal location of Interline Power Flow Controllers (IPFC) in power transmission systems. The objectives are to maintain voltage profiles and real and reactive power flows. The scope involves improving voltage profiles and power transfer capabilities using IPFCs. Recently, FACTS devices like IPFCs have attracted interest for applications like congestion management and cost reduction. The problem is that few publications have investigated IPFC locations in power systems and their effects. The report is organized into chapters covering theory, location determination methods, IPFC performance simulation and results.