Slight hardware and algorithm modifications as well as a higher power ratio of a three-phase pulsewidth-modulation (PWM) rectifier make compensation of neighboring nonlinear power load possible. The active filtering function enlarges the functionality of PWM rectifiers, which decreases the cost of additional installation of compensating equipment. It gives a chance to fulfill both shunt active filter (SAF) and PWM rectifier tasks in a multidrive system by one advanced converter. Thanks to the idea of virtual flux, the direct power control space-vector-modulated (DPC-SVM) and new synchronous double reference frame phase-locked loop approach, the control system is resistant to a majority of line voltage disturbances. This assures proper operation of the system for abnormal and failure grid conditions. Simulation and experimental results have proven excellent performance and verify the validity of the proposed system.