Highly accurate manufacture in machining industry cannot be achieved without precise temperature control of the cooling water. However, the machine tool coolers are facing the control hunting of coolant temperature and the dramatic variation of heat load in high-accuracy machining. In this study, experimental investigation on inverter driven compressor for capacity control has been proposed. Effects of using capillary tube and thermostatic expansion valve along with inverter driven control scheme have been investigated comprehensively. Cooling performance and power consumption of the cooler system have been measured at different frequency (hertz) of inverter under specific cooling water temperature. The experimental results reveal that the inverter driven cooler is cost-effective and energy-efficient for high-precision machine tool cooling.