This paper presents the Envelop Type (E-Type) reduced switch modified multilevel inverter. Each module of this inverter produces thirteen levels of output voltage using four voltage sources and ten switches. The main advantage of this topology is its ability to produce the negative voltage levels without the H-bridge inverter. The topology is compared with other recently developed reduced switch modified multilevel inverter (MLI) with number of switches and number of DC sources required and there is a substantial reduction in the total number of devices. This in turn reduces the area and the power dissipation.

Reduced power dissipation means reduced the heat loss and efficient heat sinking is possible. This topology is designed in MATLAB and simulated using Simulink. Selective Harmonic Elimination (SHE) methodology is applied to get less distorted and stable output voltage. Total Harmonic Distortion (THD) is reduced to 3.46 % as compared to 7.7% attainted using reduced carrier PWM methodology. The same topology with RL load showed a THD of just 0.84% for the current waveform reproducing exact sinusoidal waveform. This can be appreciated in large load systems. Another observation made shows that the voltage stress across each of the switches is reduced which in turn reduces the switching losses. This allows the user to use low rating devices comparatively.