The installation and of a 5 MVA, 4.16 kV Distribution-level Static Reactive Compensator (D-STATCOM) was completed in July, 1999 at the Seattle Iron & Metals Corporation's new steel recycling facility in Seattle, Washington. The D-STATCOM technology was selected as the preferred option for voltage flicker compensation of a 4,000 Hp shredder motor, which will be operated at the new facility. For voltage flicker applications, the D-STATCOM technology provides rapid-response compensation to correct for the voltage fluctuation characteristics imposed on the interconnected system during the shredder motor operation. In this application, the D-STATCOM System will be operating at 4.16 kV and will provide reliable power quality for both the new steel recycling facility and the interconnecting utility, Seattle City Light, which provides power to the plant at 26.4 kV. Final field testing and commissioning of the D-STATCOM System was completed in February, 2000.