This paper deals with three-phase wind-solar-photovoltaic microgrid (WPV-MG), which is capable of performing in grid-tied and island modes of operation under steady state and in DSTATCOM (Distribution Static Compensator) mode, utility-interactive and disconnecting modes under dynamic state. This microgrid (MG) uses a single VSI (Voltage Source Inverter) with reduced power converters and switches. At the DC bus of VSI, a battery bank is used to provide load leveling either at less renewable generation or at light loads. The control of VSI is also able to maintain power balance among various units and provides PQ (Power Quality) improvement in the MG under local nonlinear loads. During no renewable power generation, it works as a DSTATCOM to improve PQ and provides power factor correction and reduces voltage harmonics in PCC (Common Coupling Point) under local linear/nonlinear loads. During abnormal grid conditions, it provides power backup to local consumers under island operation. For this three-phase WPV-MG, a laboratory prototype is developed and its performance under different operations is validated through test results.