Abstract: A method of segmenting a power distribution network which comprises a plurality of AC power generating stations synchronously interconnected by AC power transmission paths is disclosed. The stations operate within associated market sectors and are subject to associated market rules. The method includes identifying all transmission paths which extend between differing ones of the sectors and, in each of said transmission paths so identified, segmenting the path by inserting a controllable DC link at a selected location in the path. Each of the sectors is then operated asynchronously. Power flow and counter-flow between the sectors is controlled by controlling the DC links.