The grid connected wind energy generation system for power quality improvement by using STATCOM-control scheme is simulated using MATLAB When the wind power is connected to an electric grid affects the power quality. The effects of connecting wind turbine in grid system covers power quality areas are the active power, reactive power, and variation of voltage, harmonics and electrical behavior of switching operations. The installation of wind system with the grid introduces the power quality problems which can be determined by studying this paper. By using the Static Compensator (STATCOM) with a battery energy storage system (BESS) at the point of common coupling to improve the power quality of the grid. The battery energy storage used to maintain real power from varying wind power. At low power demand hours The generated power can be stored in the batteries. The combination of battery storage with wind energy generation system will stabilize the grid system by absorbing or injecting reactive power and enable the real power flow required by the load. This relives the main supply source from the reactive power demand of the load and the induction generator in this proposed scheme.