This paper proposes a new method to identify the real power transfer between generators and load using modified nodal equations. Based on solved load flow results, the method partitions the Y-bus matrix to decompose the current of the load buses as a function of the generatorspsila current and load voltages. Then it uses the modified admittance matrix to decompose the load voltage dependent term into components of generator dependent terms. Finally using these two decompositions of current and voltage terms, the real power transfer between loads and generators are obtained. The effectiveness of the proposed method is demonstrated by using a simple 5-bus system and the practical 25-bus equivalent power system of south Malaysia. The proposed methodology provides reasonable and acceptable results to real power transfer allocation.