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Hi Generally, a K state error for SVC or excitation system indicates that the there is a difference between the actual voltage (Vt/Ecomp) and Vref (or Vsetpoint) i.e the device is against it's limit and cannot attain its setpoint. The resulting difference will lead to a K state error on initialization. This should be corrected in loadflow, use the limit reports (GENS) to find out if there is a difference and then change the setpoint in loadlfow to ensure that the device is within its Q limits. Check also if you are using remote bus voltage control which may place the device against it's Q limits.