To improve the estimation of active power, the possibility of estimating the amplitude square of a signal component using the interpolation of the squared amplitude discrete Fourier transform (DFT) coefficients is presented. As with an energy-based approach, the amplitude square can be estimated with the squared amplitude DFT coefficients around the component peak and a suitable interpolation algorithm. The use of the Hann window, for which the frequency spectrum is well known, and the three largest local amplitude DFT coefficients gives lower systematic errors in squared interpolated approach or in better interpolated squared approach than the energy-based approach, although the frequency has to be estimated in the first step. All investigated algorithms have almost the same noise propagation and the standard deviations are about two times larger than the Cramér-Rao lower bound.