This document discusses reactive power compensation techniques using FACTS (Flexible AC Transmission System) devices. It provides an overview of reactive power and why compensation is needed to regulate voltages and improve stability. Several FACTS devices for reactive power compensation are described, including STATCOM, SVC, TCSC, and UPFC. The document compares these devices based on their ability to control load flow, voltage, and stability. UPFC is found to be most effective for higher load flow control and voltage regulation, while STATCOM is suitable for smaller distribution systems. Reactive power compensation using FACTS devices can enhance power transfer capability and stability.