Wind Energy (WE) is intermittent and uncertain in nature, and its integration with weak AC grid in the presence of inductive loads largely deteriorates the power quality (PQ). In such scenario grid synchronization at higher WE, penetration level becomes a major challenge in the distribution network. This paper presents a method to mitigate PQ issues in weak AC grid with high WE penetration using distribution static compensator (DSTATCOM) controlled by an adaptive linear neural network-based least mean square (ADALINE-LMS) control algorithm. This control algorithm minimizes the current error by continuous tracking of active unit voltage templates and extracting the weight component of the load current to estimate reference current signals. These reference signals and actual weak AC grid current signals are fed to the hysteresis current controller to generate switching signals for DSTATCOM thereby facilitating smooth grid synchronization and enhance WE penetration level. The proposed control algorithm has been successfully implemented in case a weak AC grid with higher WE penetration level in MATLAB environment. © 2019 IEEE.