Frequency regulation and generation-load balancing are key issues in power transmission networks. Complementary to generation control, loads provide flexible and fast responsive sources for frequency regulation, and local frequency measurement capability of loads offers the opportunity of decentralized control. In this paper, we propose an optimal load control problem, which balances the load reduction (or increase) with the generation shortfall (or surplus), resynchronizes the bus frequencies, and minimizes a measure of aggregate disutility of participation in such a load control. We find that, a frequency-based load control coupled with the dynamics of swing equations and branch power flows serve as a distributed primal-dual algorithm to solve the optimal load control problem and its dual. Simulation shows that the proposed mechanism can restore frequency, balance load with generation and achieve the optimum of the load control problem within several seconds after a disturbance in generation. Through simulation, we also compare the performance of optimal load control with automatic generation control (AGC), and discuss the effect of their incorporation
