This paper discusses the power quality and voltage stability issues in renewable-based distribution generation systems, particularly focusing on wind energy, and highlights the role of Static Synchronous Compensator (STATCOM) devices in mitigating these challenges. The authors simulated a wind farm system both with and without STATCOM using MATLAB/Simulink, demonstrating improvements in voltage levels and overall power quality when STATCOM was employed. Key power quality issues such as voltage variations, flicker, and harmonics are analyzed alongside relevant international standards for measurement.