The Power System Stability (PSS) has been one of the major concerns of modern electrical power systems. The UPFC, a versatile FACTS controller, allows simultaneous or independent control of parameters like line impedance, voltage or power angle so that it can be used for voltage support, transient/dynamic stability improvement and damping of low frequency power system oscillations. Various optimization techniques are also implemented with stability need in controller. The effect of voltage fluctuation, current and frequency variation are controlled using the ANN & Fuzzy logic, to make the power system stability in a smoother functionality. This paper presents a review of various applications which UPFC provides in a power system such as minimization of loss, enhancement of load ability, voltage stability, transient stability, damping of power oscillations etc. by setting up UPFC parameters. To seek better power flow control, optimal allocation and parameter settings of UPFC in power system can be done by various evolutionary techniques.