This paper presents a novel approach for using solar energy in distribution system as distributed generation (DG) unit. A nonlinear fuzzy controller tunes the modulation index of PWM inverter to feed the load in the grid via photovoltaic arrays. The controller also dispatches two dc sources to control input of inverter. The proposed system controls the voltage even during changing sunlight voltage condition or unbalanced load. A low pass LC filter is linked to the output of voltage source converter to bypass switching harmonics. The evolutionary method based on fuzzy theory is used to determine the value of modulation index and disperse the sources from a fuzzy rule-based defined on load voltage error of the point of common coupling. This system gives a full flexibility to the grid to obtain power from the solar photovoltaic units depending on its cost and load requirement at any given time. Simulation results illustrate the effectiveness of performance of proposed method.