This paper presents unified power quality conditioner (UPQC) system based on three-level neutral point clamped (NPC) using Fuzzy and ANN controllers. The proposed UPQC is able to mitigate source current harmonics and compensate all voltage disturbances. It is designed by the integration of series and shunt active filters (AFs) sharing a common DC bus capacitor. The DC voltage is maintained constant using proportional integral voltage controller. The synchronous reference frame (SRF) theory is used to get the reference signals for the shunt APF and the power reactive theory (P-Q theory) for the series APF.Conventional control schemes require complex calculations, the use of intelligent systems help to reduce the control system size and the operation complexity. The shunt and series active power filter (APF) reference signals derived from the control algorithm are injected in Fuzzy and Ann intelligent controllers to generate switching signals. The performances of the proposed UPQC system are evaluated using Matlab-Simulink software and SimPowerSystem Toolbox under various operation conditions. The simulation results show the performance of the proposed UPQC based on intelligent controllers to improve the power quality in steady and transient conditions operation.