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Power electronics plays an important role in controlling the grid-connected renewable energy sources. This paper presents a novel adaptive neuro-fuzzy control approach for the renewable interfacing inverter. The main objective is to achieve smooth bidirectional power flow and nonlinear unbalanced load compensation simultaneously, where the conventional proportional-integral controller may fail due to the rapid change in the dynamics of the highly nonlinear system. The combined capability of neuro-fuzzy controller in handling the uncertainties and learning from the processes is proved to be advantageous while controlling the inverter under fluctuating operating conditions. The inverter is actively controlled to compensate the harmonics, reactive power, and the current imbalance of a three-phase four-wire (3P4W) nonlinear load with generated renewable power injection into the grid simultaneously. This enables the grid to always supply/absorb a balanced set of fundamental currents at unity power factor even in the presence of the 3P4W nonlinear unbalanced load at the point of common coupling. The proposed system is developed and simulated in MATLAB/SimPowerSystem environment under different operating conditions. The digital signal processing and control engineering-based laboratory experimental results are also provided to validate the proposed control approach.