This paper presents a fuzzy multi-objective approach for clearing the reactive power market. The objective functions that have been studied are the total payment function (TPF), voltage stability and the voltage deviation of the buses. All of the objective functions are transformed to membership functions and then a pseudogoal function is derived to express a unique objective function. In this work initially the reactive power compensation devices are assumed to compete in an integrated market with the generators but after probing the problems of this type of market a separate reactive power market is proposed. Fuzzy adaptive PSO (FAPSO) has been used to solve the optimization problem and determine the amount of reactive power that each generator has to provide. Also the reactive power generated by the reactive compensation devices and adjustment tap settings of transformers are specified. The proposed reactive market is implemented to the IEEE 30-bus system. (C) 2011 Elsevier Ltd. All rights reserved.