The utility and many customers employ capacitor banks(STATCON so called at the utility) to help control the power factor(customers) or voltage(the utility) by supplying reactive power to inductive loads. This paper presents analysis of transient overvoltages and harmonics due to utility STATCON switching. One simple and inexpensive means of limiting the voltage magnification transient and reducing harmonics is to switch the capacitor banks on a few minutes after the STATCON has been switched. Simulation results used the EDSA software package show the effects of decreased the transient voltage and harmonic reduction at the customer. And also harmonic limits based on the well-known international harmonic standards IEEE 519 and IEC 1000 are evaluated for the customer.