The renewable energy plays an important role to provide electrical energy other than conventional sources. Wind power is one of the renewable energy sources used to minimize the environmental impact on conventional plant; it is one of the fastest growing sources of energy in the world. However, when the wind power is connected to an electric grid may cause problems important in terms of power quality. The effects of the power quality measurements are-the active power, reactive power, variation of voltage, flicker, harmonics, and electrical behavior of switching operations. the paper study demonstrates the power quality problem due to installation of wind turbine with the grid. In this paper, we propose a study of the importance use of STATCOM when it installed in a wind farm. The STATCOM is connected at a point of common coupling to mitigate the power quality issues. Simulation studies are carried out in the MATLAB/Simulink environment to examine the performance of the wind farm with and without the STATCOM for improving Power Quality of wind farms connected to electrical network