Various power quality issues can be mitigated by the introduction of power quality conditioner which shows a spectacular performance for grid tied DG system. This paper studied on various power quality issue, unbalance voltage and current distribution with several fault. Adding different adjusting commands which defines the system like existing reference current harmonic current relation with other system parameters, power wavering etc. are taken into account for achieving quality power and maximal gain. It the solo task of the controller to guide the entire system controlling current to generate the triggering signal for CCVSI. All the system parameter like Grid, DG, Controller, MPPT, fault etc. are extensively simulated under MATLAB/SIMULINK platform it is observe that all linear and non-linear load appears as balance load for entire grid. Specifically the faulty unit should isolated from the cascaded system by using sophisticated relays and CBs without affecting the entire system. It is also observed that this novel control strategy satisfactorily mitigate power quality issues without driving the system towards unstable phase. The converters used in this paper have multiple use like active power injector, reactive power compensator harmonic suppressor, power quality conditioner etc. all these task can be extracted either independently or can be performed together. After compensation the source current and source voltage THD value comes below 5% which is suited by IEEE 519 standard