This paper present a new method for power factor correction and the effect of shunt compensation for various loads. For the system stability and reliability, the reactive power compensation is essential for power system. Among of VAR compensation system, the automatic power factor correction is one of the compensation systems. Power factor control is a major role in the improvement of power system stability. Many of the existing systems are expensive and difficult to manufacture. Fixed capacitor systems are always leading power factor under at any load conditions. This is unhealthy for installations of power system. The proposed system used to reduce the cost of equipment and increase the efficiency of the system.
                                
                                
                                    
                                    Reactive Power Compensation, VAR compensator, PF Improvement, Shunt Capacitor, Switching Relay Driver
                                
                                
                                
                                
                                    
                                        
                                        
                                        
                                        
                                            
                                                
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