This paper presents control and configuration of photovoltaic fed unified power quality conditioner for the purpose of power quality enhancement. Literature studies convey that fixed PI gains used in the control schemes of Unified Power Quality Conditioners (UPQC) and PV-UPQC cannot easily adapt to various dynamic conditions. In this paper a novel online tunings method for PI control gains is adopted in the controllers of series and shunt converters of PV-UPQC. Unlike the previously implemented JAYA algorithm which has a single objective function utilized in the controller of DSTATCOM for improvement of only current quality, the new adaptive JAYA algorithm has two separate objective function, employed in shunt and series inverter control of PV-UPQC system for improvement of both current and voltage quality under various operational scenarios for power quality issues. The experimental results verify that implementation of JAYA based auto tuning PI controller increases the adaptivity of PV-UPQC system towards various dynamic conditions. Results obtained are compared with conventional optimization algorithms with fixed PI gains pertaining to a distribution system for validating its efficacy.