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The paper discusses the concept of a mini custom power park in which the voltage inside the park is tightly regulated by a distribution static compensator (DSTATCOM). It will be shown on the basis of simulations with ideal components that solid state protection devices, along with the DSTATCOM will eliminate many transients in all the loads of the park during disturbances. Moreover, the DSTATCOM, backed by a diesel generator, will supply the most sensitive loads during the total line outages, thereby nearly making them both transient and interruption free. In this paper, a configuration of the park is proposed and then various issues involved with the operation of the park are discussed. The proposed operation of the custom power park is verified through extensive digital computer simulation studies.