This paper presents a novel approach for the design of power system stabilizers (PSS) for both single-machine infinite-bus systems and multimachine systems. The method determines the parameters of the PSS such that all the eigenvalues corresponding to the mechanical modes of the machines are assigned exactly to pre-specified locations in the complex plane. In the case of single-machine infinite-bus systems, the extra design freedom available in the second-order PSS is utilized to shift the unassigned eigenvalues to stable locations. In multimachine systems, the extra design freedom available in each PSS is effectively made use of to achieve fast convergence. Numerical examples are worked out to illustrate the proposed technique. © 1988 by Hemisphere Publishing Corporation.