Renewable energy sources (RES) are utilized to meet the power demand employing power electronic converters. This paper presents the control methodologies for the integration of renewable energy sources to the grid using Current Controlled Voltage Source Inverter (CCVSI). The inverter performs power conversion in addition to the shunt active power filter operation. The controllers shape the grid current sinusoidal making low Total Harmonic Distortion (THD) even when a non linear load is connected. The controllers are employed in three modes with zero RES power, RES power greater and lesser than load power, and the power flow is also analyzed through simulations done in MATLAB Simulink environment. Further on, it performs reactive power compensation making power factor nearer to unity in the grid side. Comparative analysis is carried out between the hysteresis and Linear Quadratic Regulator (LQR) and the results prove the supremacy of LQR. © IAEME Publication.