A novel efficiency optimization strategy combined with a position estimation method is proposed for switched reluctance generators (SRGs) in this article. This practical performance improvement strategy can expand the application of SRGs small-scale wind energy generation system, which is a good solution for mitigating the fossil energy crisis. First, the position estimation method based on current injection of the idle phase is presented. The angle error caused by sampling in this method aggravates with speed. Accordingly, an error compensation strategy in the linear range of inductance is suggested. Second, a method for improving the efficiency of SRG system current is proposed. It determines the range of turn- off angle with the minimum root-mean-square value of phase current, and further obtains the optimal turn- on angle by the fitting expression to improve the efficiency. This efficiency optimization strategy combined with the new position estimation method can greatly enhance the efficiency and reliability of SRG system and eliminate the position sensor. There are many simulation and experiment results that validate the effectiveness of the proposed schemes.