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Voltage instability is the main cause of concern for the large scale integration of wind power into the power grid. For the induction generator based wind generation system, the fixed capacitor located at the generator terminal can not normally cater for the reactive power demand during the transient disturbances like wind gusts and faults on the system. This paper presents two schemes for enhancing voltage stability of grid connected wind generator system. These are: variable susceptance control thru SVC and reactive power compensation through static compensator system (STATCOM). Simulation results show that both schemes are well capable of providing voltage stability and damping transient arising from reasonable level of disturbances. The STATCOM, however, demonstrates superior performance because of its fast response capability as well as its ability to provide compensation independent of system voltage support.