Abstract: A system for managing signal power levels in an optical network. The optical network comprises a plurality of nodes having logic to receive and transmit optical signals over a plurality of network interconnections. The system includes a method wherein each of the nodes is provided configuration parameters, each of the nodes is configured based on the configuration parameters, power parameter information is exchanged between the nodes, at least some of the nodes are re-configured based on the power parameter information and the steps of exchanging power parameter information and re-configuring at least some of the nodes are repeated until the optical network is fully configured so that the optical signals have selected signal power levels.