The harmonic content of supply voltage results in additional power losses and hence increases the load power consumption. The role of the power quality equipments on the power consumption without using an accurate model cannot be determined, too. In this paper, an improved model for aggregated loads proposed, which estimates the effects of voltage harmonics on the power consumption. The distinguished aspect of the proposed model is its parameters identification method which is based on the practical techniques, such as employing a capacitor bank or varying dummy loads in steps. The proposed model has been verified by the comparison of measured and Simulated results. (C) 2009 Elsevier Ltd. All rights reserved.