This paper presents a novel power factor correction circuit suitable for low-speed electric generators usually used in direct drive wind turbines. The Thyristor Switched Parallel Capacitors (TSPC) circuit belongs to the Controlled Series Capacitor (CSC) circuits. Those circuits have been used in power transmission lines to correct the power factor and improve the performance of the electrical system. Such a circuit can be used in wind power systems to improve and maximize the efficiency of a wind turbine. A typical direct-drive wind power system employs variable speed electric generators, but the downside is that systems like that suffer from high and variable inductive reactance. In order to correct the power factor and to improve the efficiency of the system, the inductive reactance of the generator must become equal in value to the capacitive reactance. A TSPC circuit uses a set of capacitors, connected in series with anti-parallel thyristors. In every cycle, a controller triggers the appropriate thyristors, allowing the current to pass from the capacitor which then provides the system with the capacitive reactance that matches the generator’s inductor reactance. Therefore, the TSPC circuit is able to counteract for any reactive losses and improve the power factor, as well as, the efficiency. This paper introduces this novel power factor correction circuit that employs capacitors in parallel configuration. This circuit was simulated in PSPICE and was implemented and tested in the lab. Based on the simulation and implementation results, we discuss the benefits as well as the drawbacks of the proposed circuit