: This paper proposes a Linear Quadratic Gaussian (LQG) control design for a grid-connected and Islanded mode Microgrid composed of a single-network feeding and forming converter with one local load. The LQG controller was designed for two different Microgrid modes: Grid-connected mode and islanded mode. A separate LQG controller was designed for each mode and a comparative analysis was made. The LQG controller was designed using the State-Space variables determined by linearizing the model. The controller consists of the optimal gain ‘K’, optimal Linear Quadratic Regulator (LQR), and the Kalman Filter. In both Microgrid modes, the LQG eliminates disturbance and noise in the system and makes the system optimally controlled. The Microgrid system also consists of another control system that comprises the subsequent control subsystem, i.e., Alpha–Beta control, Power and Current loop, and Space Vector Modulation. The steady-state response of the Microgrid system, noise, and disturbance present in Grid-connected and islanded modes was rectified by the LQG controller. The design environment used for developing the Microgrid and LQG controller was the MATLAB/Simulink platform. The effective simulations have permitted and determined results that convey the optimal control and stable performance of the proposed system.
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