This paper proposes a new hybrid novel optimization approach, called Enhanced Artificial Bee Colony Algorithm (EABC) for designing an optimal PI controller for single-phase Shunt Active Power Filter (SAPF). The proposed EABC algorithm optimizes the gain values of the PI controller to improve the dynamic performance of SAPF. In this EABC, the adaptive real coded genetic algorithm (ARGA) is integrated with the Artificial Bee Colony (ABC) algorithm and this integration improves the exploration and exploitation ABC and speed up the convergence rate. The minimization of integral square error (ISE) is considered as an objective function to manipulate the gain values of the PI controller. The system tested with MATLAB simulation results are implemented in the hardware circuit with the same set of parameters. The proposed hardware system is designed with the Cyclone-IV EP4CE30F484 FPGA controller and the gain value for this proposed controller is fed from the simulation results tested with ABC and EABC algorithm. The results obtained from the hardware setup is compared with simulation results. The experimental result enhanced the performance of THD of source current, settling time and percentage peak overshoot of DC Link voltage. © 2020, The Korean Institute of Electrical Engineers.