In this paper, an adaptive compensation technique for parameter variation is proposed which can perform quick torque response in vector control of an induction motors. To solve the problem of control performance degradation due to parameter variation in an induction motor, a rotor resistance estimation is performed by the model reference adaptive control(MRAC). The algorithm of rotor resistance estimation is composed of the error relationship which is generated between a motor real instantaneous reactive power and an estimated instantaneous reactive power. The advantage of such a real reactive power reference model is independence of the motor parameter variation. The estimation rotor resistance values are applied to the direct vector control system with a flux observer. Finally, the simulations and experiment are presented to validate the rotor resistance estimation algorithm of induction motor.