The deregulation of the electricity market made the open communication infrastructure an exigent need for future power system. In this scenario dedicated communication links are replaced by shared networks. These shared networks are characterized by random time delay and data loss. The random time delay and data loss may lead to system instability if they are not considered during the controller design stage. Load frequency control systems used to rely on dedicated communication links. To meet future power system challenges these dedicated networks are replaced by open communication links which makes the system stochastic. In this paper, the stochastic stabilization of load frequency control system under networked environment is investigated. The shared network is represented by three states which are governed by Markov chains. A controller synthesis method based on the stochastic stability criteria is presented in the paper. A one-area load frequency control system is chosen as case study. The effectiveness of the proposed method for the controller synthesis is tested through simulation. The derived proportion integration(PI) controller proves to be optimum where it is a compromise between compensating the random time delay effects and degrading the system dynamic performance. The range of the PI controller gains that guarantee the stochastic stability is determined. Also the range of the PI controller gains that achieve the robust stochastic stability is determined where the decay rate is used to measure the robustness of the system. The deregulation of the electricity market made the open communication infrastructure are the exigent need for future power system. In this scenario dedicated communication links are replaced by shared power networks. These random time delays and data loss To meet future power system challenges these dedicated networks are replaced by open communication links which makes the system stochastic. In this paper, the stochastic stabilization of load frequency control system under networked environment is investigated. The shared network is represented by three states which are governed by Markov chains. A controller synthesis method based on the stochastic stability criteria is presented in the paper. A one-area load frequency control system is chosen as case s The effectiveness of the proposed method for the controller synthesis is tested through simulation. The derived proportion integration (PI) controller proves to be optimum where it is a compromise between compensating the random time delay effects and degrading the system dynamic performance. The range of the PI controller gains that guarantee the stochastic stability is determined. Also the range of the PI controller gains that achieve the robust stochastic stability is determined where the decay rate is used to measure the robustness of the system.