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This paper presents an output power smoothing method by a coordinate control of machine side converter and grid side converter for permanent magnet synchronous generator (PMSG) based wind energy conversion system (WECS). The WECS adopts medium voltage source converter with AC-DC-AC configuration. The output power fluctuations are compensated using direct torque control based maximum power point controller and voltage oriented control. The DC link voltage is controlled using grid side controller and the maximum power is extracted using the machine side controller of the wind turbine. The proposed controller provides effective solution for grid integration and constant power flow from the generator system to grid system. Simulation results are presented and analysed the performance of the control strategies implemented in the system.