Wind farm integration with existing main electricity grid is very difficult due to the uncertainty of wind speed, which affects the balancing nature of electrical system. In current competitive power market, it is very challenging to maintain the quality of delivered power to the customers and also maximization of profit for delivered power after integration of such type of intermittent renewable energy sources. This paper presents an efficient optimization approach to achieve the maximum social welfare and profit of consumers as well as maximum profit of generation companies, by minimizing the adverse effect of imbalance cost which is the product of uncertain wind penetration. The optimal placement of Thyristor Controlled Series Compensator (TCSC) & Unified Power Flow Controller (UPFC) devices, with optimal wind generator placement has been incorporated in the proposed method. The real time data for actual and forecasted wind speed has been collected from different identified places of India. Modified IEEE 14 bus and modified IEEE 30 bus test systems are considered in this work for validating and analyzing the effectiveness of the proposed approach. (C) 2019 Elsevier Ltd. All rights reserved.