Preliminary studies on Iraqi power system show a significant increase in the short circuit level at some of the grid substations and some power stations. This increasing results from the growth of the power generation and transmission systems in size and complexity. Islanding or splitting is dividing the power system into several islands inorder to reduce short circuit levels and avoiding blackouts. The main islanding problem is determining the location of proper splitting points and load balance and satisfaction of transmission capacity constraints for each islands.This paper mainly introduces new proposed splitting strategies of large-scale power systems by using (PSS™E version 30.3 PACKAGE PROGRAME), such that, make re-interconnection of 400KV super high voltage substation based on three-phase load flow to be minimum flow at splitting point and infeed fault current details method to control short circuit levels in Iraq power system without islanding the power system into isolated islands. Controlled islanding or splitting scheme is frequently considered as the final solution to avoid blackouts of power system.Simulation IEEE-25 bus and Iraqi power system used as the test systems for this method. Furthermore, simulation results show significant effectiveness on reducing short circuit levels with same time give stable splitting islands with same frequency for preventing the system blackouts.