In electrical distribution system, type of loads plays a major role of power quality and distribution losses. to compensate the losses in power distribution, customers are supposed to reduce reactive power losses by providing the capacitive load to the electrical installations. maintaining a unity power factor manually by switching the capacitors whenever required is a challenging and human involvement task which may be practically difficult. Here applies our sophisticated and cost effective solution of automatic power factor correction control panels which will help the system to maintain the unity power factor by sensing the power quality - time by time - and switching the capacitors on and off when ever required.