The microgrid concept assumes a cluster of loads and microsources operating as a single controllable system that provides a new paradigm for defining the operation of distributed generation. This system can be operated as both grid-connected mode and islanded mode. In other words, the microgrid can be operated to meet their special need; such as economics in steady state and local reliability in islanded mode due to the grid fault. This paper presents the AGC (Automatic Generation Control) method for microgrid with EMS (Energy Management System).