This paper concentrates on the output power smoothing and the grid dynamic response enhancement of a grid-interactive MW-class permanent magnet synchronous generator-based wind energy conversion system (WECS). A simple fuzzy controller method is applied to improve the overall performance of the WECS. The proposed method can retrieve the storing kinetic energy from the inertia of a wind turbine, perfectly. As a result, it can ensure a proficient power smoothing of the variable speed WECS. On the other hand, the grid side inverter is controlled by the fuzzy controller. This approach can reduce the fluctuation of DC link voltage and can deliver a smooth power to the power grid. The proposed method is compared with two other methods such as the maximum power point tracking control method and the without fuzzy controller method. A simple shunt circuit also includes in the DC link circuit. Therefore, during the system fault condition, the WECS can perform a stable operation. Effectiveness of the proposed method is verified by numerical simulations. Copyright © 2013 John Wiley & Sons, Ltd.