As power systems grow more complex and power demands increase, the fault current tends to gradually increase. In the near future, the fault current will exceed a circuit breaker rating for some substations, which is an especially important issue in the Seoul metropolitan area because of its highly meshed configuration. Currently, the Korean power system is regulated by changing the 154kV system configuration from a loop connection to a radial system, by splitting the bus where load balance can be achieved, and by upgrading the circuit breaker rating. A development project applying a 154kV Superconducting Fault Current Limiter (SFCL) to 154kV transmission systems is proceeding with implementation slated for after 2010. In this paper, SFCL is applied to reduce the fault current in power systems according to two different application schemes and their technical and economic impacts are evaluated. The results indicate that both application schemes can regulate the fault current under the rating of circuit breaker, however, applying SFCL to the bus-tie location is much more appropriate from an economic view point.