This paper presents a novel damping control algorithm for static synchronous series compensator (SSSC) in a series compensated wind park for mitigating subsynchronous resonance (SSR) and for damping power system oscillations. The sample test system, adapted from the IEEE first benchmark model on SSR replacing the synchronous generator, is employed aggregating wind park based self-excited induction generator. Consequently, it investigates the SSR phenomena and the damping power system oscillation while integrating large wind park based on SEIG. The potential occurrence and mitigation of the SSR caused by induction generator effects as well as torsional interactions, in a series compensated wind park, are investigated. The auxiliary subsynchronous damping control loops for the SSSC based on a novel design procedure of non-linear optimization are developed. The performance of the controller is tested in steady state operation and in response to system contingencies, taking into account the impact of short circuit ratios (SCRs). The simulation results are presented to demonstrate the capability of the controllers for mitigating the SSR, damping the power system oscillation and enhancing the transient stability margin in response to different SCRs. Copyright © 2011 John Wiley & Sons, Ltd.