In this paper, a Recursive Measurement Error Estimation Identification algorithm has been proposed for identifying multiple interacting bad data in Dower system static state estimation. A set of linearized formulae have been developed and used to recursively calculate normalized residuals and normlized measure-memt error estimstes upon which the bed data identifi-cation method is based. Sparse vector and mrtial factor modification techniques have been made full use of in tee recursive identification calculations. Heioer Wss nor state re-estimation is needed in the whole identification process. Digital tests on various power systems including a 171 bus real system have beol don to show the validity and efficiency of the proposed bad data identification method.