Optimizing power distribution and stability in islanded microgrids with wind energy integration using enhanced droop and virtual impedance control

• This study aims to optimize energy systems in islanded microgrids by integrating wind energy, solar PV, and battery storage using droop control, focusing on enhancing load sharing, stability, and economic viability. • Simulations demonstrated annual energy outputs of 5,787 kWh from wind, 8,533 kWh from solar, and 1,001 kWh from storage, with droop control ensuring stable voltage and frequency regulation in islanded mode. • The hybrid microgrid achieved a payback period of 7.19 years, an IRR of 23.7%, and annual savings of $1,256, highlighting its cost-effectiveness and sustainability. • The research validates droop control as a resilient solution for decentralized microgrids, offering reliable energy delivery and scalability for urban and rural applications. The framed paper conducts a methodical exploration of the potential of incorporating renewable energy resources by means of wind and solar power in islanded microgrids. The study challenges the effectiveness of superior control tactics such as droop control, damping loops and virtual impedance control in the optimization of power-sharing, system steady-state, and transient frequency control. The ground-breaking aspect of the new scheme is in a hybrid control structure that combines both differential droop control and damping-loop control and that achieves greater steady-state transient stability and convergence to steady-state power output in shorter time at MATLAB Simulation. Additionally, There is integrated HOMER Pro simulation software to carry out economic analysis producing insights that compare hybrid renewable systems in terms of cost-effectiveness and operational feasibility. Additionally, this paper will observe how battery storage and the integration of wind energy are impacting on the performance of the said technologies under the purview of a microgrid. The paper establishes that the hybrid control system facilitates optimal power sharing among the distributed generators, limits frequency swings, ensures and balances reactive power through rigorous simulation and real-time distribution of power, thus stabilizing grid operation reliably. In this study, the numerous available literature materials originating regularly on the growing body of knowledge concerning renewable microgrids with a specific emphasis on dynamic stability and cost-efficient energy delivery contributed to innovative approaches to the identification of means of enhancing the performance of islanded systems.