For the microgrids to operate securely, distributed generators must be able to interact with one another without experiencing any communication delays or noise. To develop a more effective economic dispatch strategy, this research focuses on noise’s effect on the performance of an islanded microgrid. Three different strategies, Lagrange, firefly, and artificial bee colony algorithms, are compared for optimal solutions of economic dispatch. Their performance is compared based on stability during noise interference and faster response time with and without the virtual synchronous generator-STATCOM strategy. The virtual synchronous generator is used as a voltage source to regulate active power and reactive power with the grid. A STATCOM controller is introduced in the system for reactive power compensation. Reactive power compensation is the process of controlling reactive power to enhance the efficiency of alternating current power systems. By boosting the active power, reactive power compensation in the transmission system will increase the stability of microgrids. The voltage, output power, power factor, and phase angle of the microgrid benefit from the stability provided by the controller. As a result, the performance and resilience of the microgrid is improved.