This paper presents the smooth connection of doubly fed induction generator (DFIG) based wind and permanent magnet synchronous generator (PMSG) based small hydro energy conversion system. Typically, these systems are located at isolated places where the utility grid is unavailable. The small hydro system acts as local grid and operates in the grid forming mode to maintain the voltage and frequency of the system. Besides, the wind energy conversion system operates in the grid following mode. The control algorithm for the converters before and after synchronization is presented. The algorithm makes sure that upon closing of the static transfer switch, no active and reactive power is drawn from the DFIG. Upon successful closure the control is transferred to the torque control mode where the maximum power is extracted from the wind and the system operates in normal mode. The sequential operation of the system in different modes is depicted. The system provides uninterrupted power to the local loads. The system is simulated on MATLAB/Simulink platform and seamless transition of the standalone DFIG system with the local grid formed by the small hydrogenerator is presented. Obtained results certify the transient free mode switching of the microgrid.