Power electronic converters such as dynamic voltage restorer (DVR), distribution static compensator (DSTATCOM), and unified power quality conditioner (UPQC) can zero voltage regulation, eliminate harmonics, reactive power compensation and unbalancing on both the source and load side of the system. The distribution static compensator is the distribution flexible ac transmission system (FACTS) device. It is an important device in a distribution network that used for maintaining constant distribution voltage, correcting power factor, and mitigating harmonics. This paper describes the application of a distribution static compensator for reactive compensation in electric distribution networks, to regulation voltage. Simulated performance of distribution static compensator is presented at varying conditions. The performance of the system has been considered for two cases: change in the source voltage (variable load is constant) and change in the load (voltage source is constant). At the end, the result of simulation with Matlab Simulink software has been presented. .