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In this paper, the steady-state operating performance analysis and the minimum capacitance design of the excitation capacitor bank required for the three-phase self-excited induction generator (SEIG) driven by a variable-speed prime mover (VSPM) is presented on the basis of effective algorithms. The steady-state operating performances and the minimum excitation capacitance design required for the VSPM coupled the three-phase SEIG in unregulated voltage control loop scheme are evaluated on line processing under the conditions of particular torque-speed characteristics of the VSPM which are similar to the torque-speed characteristics of the wind turbine prime mover and the electrical passive load power variations with the simple and efficient computation processing procedures. The three-phase SEIG driven by VSPM prototype setup is implemented for the small-scale clean renewable and alternative energy utilizations. The experimental operating performance results are illustrated and give good agreements with the simulation ones.