Economic Dispatch (ED) problem is one of the main concerns of the power generation operations which are basically solved to generate optimal amount of power from the generating units in the system by minimizing the fuel cost and by satisfying the system constraints. The accuracy of ED solutions is highly influenced by the fuel cost parameters of the generating units. Generally, the parameters are subjected to transform due to aging process and other external issues. Further the parameters associated with the transmission line modelling also change due to aforementioned issues. The loss coefficients which are the functions of transmission line parameters get altered from the original value over a time. Hence, the periodical estimation of these coefficients is highly essential in power system problems for obtaining ideal solutions for ED problem. Estimating the ideal parameters of the ED problem may be the best solution for this issue. This paper presents the Teaching Learning Based Optimization (TLBO) algorithm to estimate the parameters associated with ED problem. The estimation problem is formulated as an error minimization problem. This work provides a frame work for the computation of coefficients for quadratic function, piecewise quadratic cost function, emission function, transmission line parameters and loss coefficients. The effectiveness of TLBO is tested with 2 standard test systems and an Indian utility system.