Photovoltaic (PV) inverters are traditionally designed to operate with unity power factors. In order to use reactive power capabilities of smart inverters, in this work two strategies are analysed: limiting the amount of active power delivered or oversizing the inverter. The first of these options implies a reduction in the PV production and therefore, it would lead to reduced earnings for the PV system owner. On the other hand, oversizing the PV inverter allows having reactive power compensation capabilities, while delivering full power output from its PV field.