Abstract.In this paper is presented a matrix converterinterfaced Permanent Magnet (PM) generator system which can provide shunt active filtering in addition to converting and transferring energy. The modulation technique is the simple and well-known indirect space vector modulation. The filtering current injected by the matrix converter and the input filter capacitor voltage are controlled by cascaded proportional control loops. Results showing that the matrix converter successfully provides active power filtering are given. Simulations also indicate that the filtering capability of the system depends on the generator side power factor. An explanation to this effect is given.