The environmental concerns and the fuel cost uncertainties associated with the conventional energy sources consequently lead to rapid growth of renewable energy sources connected to the distribution grids. Moreover the continuous increase of power demand emphasizes more and more integration of renewable generation units to the power network to supply the required demand. This incorporation of the distributed generation into the distributed network has tremendous potential if it can be used properly. But the installation cost of these plants are very high. Thus to balance the cost incurred while installing the plant the revenue from those renewable energy producers have to be maximized and losses are to be minimized by using dynamic optimization techniques. The main aim of the project work is to find the optimal operation or condition of a distribution system when embedded to a wind- battery storage system. Hence this paper presents the operation of Particle Swarm Optimization which provides an optimal strategy to increase the revenue from the power trading to the network. Results of IEEE 14 bus system is presented.