The document discusses using a D-STATCOM device to improve power quality issues in distribution systems, such as voltage sags, harmonic distortion, and low power factor. A D-STATCOM injects current into the system using a voltage source converter to regulate voltage and mitigate sags. It can also absorb or generate reactive power to improve power factor and eliminate current harmonics. Simulation results showed the D-STATCOM is effective at mitigating voltage sags and improving power factor when combined with an LCL passive filter.