The Nigerian Power system is complex and dynamic, as a result of this it is characterized by frequent faults and outages resulting to none steady supply of power to the teaming consumers. This has great effect on the activities and mode of living of Nigerians. The research work was carried out on contingency analysis on the existing integrated 330KV Nigeria grid system and to carry out a shunt compensation on the violated buses, the shutdown of Eket-Ibom line being the case study so as to determine the following; uncertainties and effects of changes in the power system, to recognize limitations that can affect the power reliability and minimize the sudden increase or decrease in the voltage profile of the buses through shunt compensation of buses. Determine tolerable voltages and thermal violation of +5% and -5% of base voltage 330 KV (0.95-1.05) PU and to determine the critical nature and importance of some buses. This is aimed at bridging the gap of proposing further expansion of the grid system which is not only limited by huge sum of finance and difficulties in finding right – of- way for new lines but also which faces the challenges of fixed land and longtime of construction. The data of the network was gotten and modeled. The power flow and contingency analysis of the integrated Nigeria power system of 51 buses (consisting of 16 generators and 35 loads) and 73 transmission lines were carried out using Newton-Raphson Load Flow (NRLF) method in Matlab environment, simulated with PSAT software. Shunt compensation of the weak buses were done using Static Var Compensator (SVC) with Thyristor Controlled Reactor- Fixed capacitor (TCR-FC) technique. Results obtained showed that the average voltage for base simulation was 326.25KV, contingency 323.67KV and compensation was 322.37 KV. Voltage violations for lower limit were observed at Itu as 309KV and Eket as 306.81 KV while violations for upper limit were recorded at Damaturu as 352.85KV, Yola as 353.62 KV, Gombe as 355.98KV, and Jos as 342.97 KV. However after shunt compensation there were improvements for the violations at lower limits and that of higher limit were drastically brought down as recorded below: Damaturu 329.93 KV, Jos 330 KV, Eket 327.2 KV, Gombe 333.55KV, Itu 330KV, and Yola 330.52KV

Keywords : Contingency, FACTS Controllers, Power flow study, Shunt Compensation.