Background / Objectives: This paper narrates a novel strategy employing fuzzy logic for voltage profile enhancement and loss minimization in power systems. Linearized model is utilized and limit violations of control variables translated into fuzzy set notation. Methods/Statistical Analysis: The method adopted here for the voltage profile enhancement consists of certain number of load buses with definite VAR compensation schemes. In this work, it is mainly aimed to enhance the system voltage profile and thereby reducing power losses in it. Here, the linearization of objective functions and constraints is done about the current operating point. Findings: The equality and inequality constraints include dependent and independent variables. Later, power flow studies are used to calculate the limit violations of bus voltage magnitude and thereby a viable solution set that aims for voltage profile improvement as well as power loss reduction is finally obtained using appropriate operations of the fuzzy sets. In order to demonstrate the efficacy of this approach, IEEE 14 –bus test system is implemented. Application/Improvement: Due to the application of fuzzy logic, the control of variables in the problem is global and it involves less computational time and the results can have more accuracy.