The induction machine operating as a generator in isolated areas has received considerable attention in recent years, however the main drawback is poor voltage control when speed and load change. This paper present indirect vector control strategy for both SEIG and induction motor-(self excited induction generator feeding induction motor for different use) using classical regulator proportional integral (PI) and Fuzzy controller. The comparison between the two methods under the same conditions is illustrated by simulations. The system has been tested for use in constant load and pumping applications.