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An electrical power system network consists of number of buses, individual elements coupled together and to form a big and complex network which have the capable of generation, transmission and distribution of electrical energy over large environmental areas. In order to satisfy the increasing power demand, the power system network is developing each and every day. The power demand is reduced either by install the new generating stations, or by extending the range of the existing loadability limits. As a result, the existing lines are overloaded than ever before and to reducing voltage stability. So instability of voltage is a major issue which attracting worldwide interest because of its result of voltage collapse. In earlier, power system stabilizers (PSS) are used for improving small signal stability. FACTS controllers are currently being incorporated with the power system for dynamic performances. In this project, STATCOM is proposed for improving voltage stability. The IEEE 14 bus system is taken and it is built in MATLAB software. By connecting STATCOM, voltage profile and loadability limits are improved. Optimal location of STATCOM has to be found by PSO algorithm technique. The results are verified through waveforms using MATLAB SOFTWARE.

The power quality has degraded due to the increase of power electronic equipments for developing efficient interfacing of renewable energy to the grid. The wide uses of non-linear loads are responsible for harmonic problems and have a significant impact on the quality of power supply. The renewable energy source is directly connected to the grid which will inject the harmonics in the power grid and also produce the power quality problems in the power grid. The main objective of this paper is to design the shunt active filter with modified control algorithm interface to the grid for compensating the reactive power and harmonic current elimination. Hysteresis current controlled Voltage-Source Inverter is used to realize the shunt active filter. The shunt active filter with modified controller's effectiveness is analyzed by considering two types of nonlinear loads. One is AC voltage controller fed induction machine with diode bridge rectifier controlled R load and another one as AC voltage controller fed RL load with diode bridge rectifier controlled R load. The shunt active filter using modified control algorithm proposed for improve the power quality of grid, reduce the percentage of THD values and the control algorithm response for dynamic load variation are verified through simulation.