In this paper, the authors proposed a simple technique to inject capacitors to regulate the terminal voltage of Self-Excited Induction Generator (SEIG) operating as a stand-alone mode. It is well-established theory that a minimum leading VAr (reactive volt-ampere) requires to meet the excitation of an SEIG when operating as a stand-alone mode. A simple model is proposed to realize the theory. Analysis of the steady state model shows that, as the load lagging reactive power increases a leading VAr is required to inject over and above the minimum capacitance to regulate the load terminal voltage. A simple soft switch technique is adopted to inject the capacitor to provide the necessary leading VAr. Experimental results and Mat lab simulation results shows the validity of the proposed system. Analysis of the result also presented. © 2011 Praise Worthy Prize S.r.l. - All rights reserved.