This document provides an overview of reactive power management in power systems. It discusses the power triangle and significance of positive and negative real and reactive power. Reactive power control is necessary to reduce losses, improve voltage regulation and increase transmission capacity. Sources of reactive power include synchronous machines, capacitors, and FACTS devices. Series and shunt compensation are used to improve voltage profiles and increase power transfer capabilities by reducing line reactance. Synchronous machines can generate or absorb reactive power through field excitation control.