This paper presents a digital instrument for a DSP based power quality analysis in three phase power system where current waveform is non-sinusoidal. it is based on stand alone type TMS320C31 DSP(digital signal processor)board and on a special high-speed data acquisition system. Power quality of low power motor drives are analyzed and processed by using a simple average power algorithm, and result of power analysis are displayed by LCD in the proposed system. This paper also goes on to discuss the performance of an instrument prototype, both in terms of accuracy and speed of measurement under the transient and steady state condition.