In response to the demand for the development of static var generators (SVG) in the new power system, this paper designs and develops a refined simu-lation model based on PSCAD. The system simulation adopts a modular design, using reactive power compensation theory to establish control algorithms. Combined with carrier phase-shifting modulation principle and double closed-loop control strategy, it realizes the functions of reactive power compensation, voltage support, and current regulation for typical system conditions. During the module development process, each part of the system modules is independently encapsu-lated and parameter calibrated, and the accuracy of the adjustment of each module in the system simulation process is tested. The simulation results show that this module can accurately simulate the reactive power compensation, voltage support, and current regulation functions of the SVG power system. It provides a reliable digital testing platform for the optimization of actual engineering control strategies and verifies the correctness of the principle analysis of the PSCAD simulation model.