Muhammad Zahid, Hafiz Mudassir Munir, Mohammad Adeel, Fares Suliaman Alromithy, Mohammad R. Altimania, Євген Зайцев
ABSTRACT As decentralized energy systems gain momentum, microgrids (MGs) have become a vital component of the modern power landscape. Yet, maintaining power quality (PQ) within these systems presents ongoing challenges due to the presence of nonlinear loads, variable renewable energy sources, and frequent switching operations. These factors contribute to PQ disturbances, such as harmonic distortion, voltage instability, and synchronization issues. Conventional mitigation methods often struggle to cope with such dynamic and complex environments. This review investigates the emerging role of artificial intelligence (AI) as a powerful tool for optimizing PQ in MGs. It presents a detailed overview of various AI‐based methods, including machine learning (ML), metaheuristics, deep learning, fuzzy logic, and hybrid approaches and their implementation in areas like harmonic suppression, voltage and frequency regulation, islanding detection, renewable energy coordination, and predictive diagnostics. The study evaluates these techniques based on key performance indicators, such as precision, scalability, and suitability for real‐time operation, while also addressing challenges related to data reliability, interpretability, and cybersecurity. The article concludes by highlighting future research directions, such as AI integration with Internet of Things (IoT), edge computing, and decentralized intelligence. Overall, the review illustrates how AI can play a pivotal role in transforming MG PQ optimization for the evolving smart grid era.