1) The document discusses power quality issues such as voltage sags and proposes using a Dynamic Voltage Restorer (DVR) to improve power quality.
2) A DVR injects voltage into the distribution system through an injection transformer to compensate for voltage sags and restore the load voltage to its normal level.
3) The document presents a MATLAB simulation of a DVR connected to a distribution system with two loads - a sensitive load and a normal load. When a fault is created, the DVR injects voltage and is able to maintain the sensitive load voltage at its normal level, protecting it from the voltage sag.