This study delves into the issues concerning power quality in distribution systems, which commonly experience substantial losses, voltage fluctuations, and instability in bus voltages. More specifically, this paper centered on optimizing the Distribution Static Compensator (DSTATCOM) to tackle these challenges. To achieve this objective, we employ the Backward/Forward Sweep (BFS) method for load flow analysis and the Particle Swarm Optimization (PSO) algorithm to determine the ideal size and placement of the DSTATCOM. The study evaluates three different scenarios: the first scenario considers a 50-bus system without DSTATCOM, while the second and third scenarios incorporate the use of PSO to identify the optimal location and size of fixed and switched DSTATCOM. The aim is to reduce active and reactive power losses, enhance the voltage profile, and minimize system costs. The DSTATCOM integration significantly improved the distribution system by raising the minimum bus voltage from 0.817 p.u. to 0.95 p.u. Case 1 and Case 2 experienced notable reductions in active and reactive power losses, with percentages ranging from 58.72% to an impressive 96.69%. Economically, both cases demonstrated substantial net savings of 58.85% and 58.71%. The results demonstrate that employing PSO to allocate and size DSTATCOM can significantly decrease distribution system losses.
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