In this paper, conventional reactive power compensation is defined and instantaneous real control concept for shunt converters is proposed. This equipment incorporates the compensation function of harmonics at the distribution line by nonlinear load. These methodologies are applied to IEEE 13 distribution system with the modeling of nonlinear load using EMTEDC/PSCAD package. Simulation with EMTDC results presented to confirm that the new approach has better performance than those obtained by controllers based on traditional concepts of reactive power compensation.