In this paper, a unified energy management scheme is proposed for grid interactive hybrid energy storage system (GIHESS). The intermittent nature of renewable energy resources coupled with the unpredictable changes in the loads, demand the high power and also high energy density storage systems to coexist in todays microgrid environment. A single phase grid interactive voltage source converter (GIVSC) with the proposed energy management scheme, performs the main function of real power transfer along with ancillary services like current harmonics mitigation, reactive power support and power factor improvement at the point of common coupling (PCC). Active participation of supercapacitor/battery control to handle sudden/average changes in power surges results in fast DC link voltage regulation, effective energy management and reduced current stress on battery.