Given the increasing integration of wind-based generation systems into the electric grid, efforts have been made to deal with the problem of power quality associated with the intermittent nature of these systems. This paper presents a new modelling approach oriented towards harmonic distortion analysis of the induction machine for wind power applications. The model is developed using companion harmonic circuit modelling, which is a natural approach for analysis of the adverse effects of harmonic distortion in electric power systems, and represents an easier solution method than the well known dynamic harmonic domain, since it solves algebraic equations instead of state-space differential equations. The structure of the companion circuits simplifies both the formulation and solution for power systems with wind-based generation systems. This approach is especially useful for analysis of the harmonic interaction in transient and steady states between the wind power generator and the power system, whose interconnection is made through electronic converters. The proposed model allows us to compute the dynamics of the wind turbine, which are influenced by disturbances such as changes in the wind velocity, voltage fluctuations, electric waveform distortion, and mechanical vibrations, among other factors. Moreover, the cross-coupling between harmonic components at different frequencies is considered. The proposed model represents an integral framework of the electrical and mechanical subsystems of a wind turbine, allowing for analysis of the interactions between them, and understanding power quality degradation behaviour as well as causes and consequences, while also giving useful information on the field of simulation and control. To test the performance of the proposed model, a test power system is used to obtain the behaviour of a wind turbine induction generator in response to typical power quality disturbances, i.e., harmonic distortion, and voltage sags and swells. Then, the dynamics of the variables considering their harmonic interactions are analysed.