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In this paper a novel differential particle swarm optimization (DPSO) algorithm is proposed. The proposed algorithm includes an additional term in the velocity equation of the classical particle swarm optimization (PSO) algorithm. The additional term in DPSO is the experience of a particle selected randomly from the swarm for a target particle. The difference of the selected and the target particle is scaled and added to the velocity equation which try the particle to escape from trapping into local minima. The proposed algorithm has been used to solve economic load dispatch (ELD) problem of the IEEE 10 unit system. The results obtained by DPSO have been validated by comparing the results obtained by PSO.