Modern energy networks are increasingly challenged by the proliferation of electronic devices and nonlinear loads, which lead to voltage waveform distortions, frequency fluctuations, and amplitude variations. These disturbances can significantly compromise the stability and quality of power supply. The Unified Power Quality Conditioner (UPQC) serves as an effective solution to these issues by actively addressing power quality problems. It reduces total harmonic distortion (THD) in grid currents, mitigates voltage disturbances, and enhances the overall power factor. The UPQC employs advanced active filtering techniques to compensate for harmonic currents generated by nonlinear loads, resulting in a marked decrease in THD. Its dual functionality, comprising series and shunt converters, enables it to effectively manage voltage sags, swells, and imbalances, thereby ensuring a stable voltage supply under varying load conditions. Furthermore, the shunt converter plays a crucial role in providing reactive power compensation, which not only improves the power factor but also reduces transmission losses. By enhancing power delivery efficiency, the UPQC contributes to the reliability and sustainability of modern energy networks, making it a vital component in the transition towards more resilient electrical systems. This integration of UPQC technology is essential for achieving high-quality power in contemporary energy infrastructures.