The UPFC is a FACTS device that can control all three parameters of line power flow - voltage, impedance, and phase angle. It consists of two voltage source inverters, one connected in series with the transmission line and one connected in shunt. The shunt inverter controls reactive power flow and voltage, while the series inverter controls real and reactive power flow by injecting a controllable voltage in series with the line. Control schemes for the UPFC include phase angle control, cross-coupling control, and a generalized control scheme that provides damping against power swings for improved stability. The UPFC offers benefits like improved power transfer capacity, transient stability, and independent control of real and reactive power flows.