High penetration of wind energy into the grid may introduce stability and power quality problems due to the fluctuating nature of the wind and the increasing complexity of the power system. By implementing advanced functionalities in power converters, it is possible to improve the performance of the wind farm and also to provide grid support, as it is required by the grid codes. One of the main compliance difficulties that can be found in such power plants are related to reactive power compensation and to keep the harmonics content within the allowed limits, even if the power of the WPP converters is increasing. This paper deals with an advanced control strategy design of a three-level converter performing STATCOM and Active Filter functionalities. A novel control strategy called Smart-STATCOM is introduced, since it has the capability of self-controlling reactive power and harmonic voltages at the same time.