The power quality comprehensive compensation device with active and reactive parallel opera-tion combines the advantage of traditional active and reactive compensation device and finds wide applica-tion prospects in low voltage distribution area. In this paper

the typical operation condition of power quali-ty comprehensive compensation device in the distribution area is analyzed on the basis of actually mea-sured data of the distribution area. For the different operation conditions

the economic evaluation for thetraditional control method of the compensation device is performed by the net present value method.Analy-sis is made through the evaluation result and the control method of power quality comprehensive compensa-tion device of the distribution area with a kind of optimal net present value

the simulation verification andexample calculation are made. It is shown by the result that the control method can achieve optimal net pres-ent value at different conditions and is more suitable for application in the power quality comprehensivecontrol device in the distribution area.