Transmission expansion planning is an important part of planning in power systems. The main purpose of this program is to find where and when the new elements should be added to the systems at lowest cost to support future load with satisfied system reliability indices. In recent years, Demand Response (DR) is greatly considered into the power systems planning and operation. Economic advantage options of demand side are the most important reason for development of demand response programs. Implementation of programs lead to reduce peak, reform load curve and improve the operating conditions. The main advantages of the demand response programs are reduction of electricity price and volatility in the market, cancel or postpone generation, distribution, transmission expansions, improvements in reliability, peak clipping, valley filling, smooth load curve and increase the load factor are the main purposes application price based programs. In this thesis, the system loads have been considered price responsive. Price based programs are used as demand response programs in this thesis. The objective functions are used in this thesis, including investment costs of transmission system and operating costs of the system. The system loads have been kashida; TEXT-ALIGN: justify; TEXT-KASHIDA: 0%; MARGIN: 0in 0in 8pt; unicode-bidi: embed; DIRECTION: ltr" key words: Transmission Expansion Planning, Demand Response, Priced Based Programs