The concept of a smart grid is an integration of efficient storage system plug-in electric vehicle (PEV) to the existing grids. The application of any storage technique increases the dimension and complication of the conventional grid. Thus, to realize a smart grid scenario, the renewable energy and PEVs are incorporated and tested in this study. Here, assisting the AGC for maintaining the frequency of a Jaya optimized controller, additional filter integrated proportional-integral-derivative (nPID) is employed. A two-area interrelated network has been analyzed with hydel, thermal, gas power units and PEV in both areas. A load deviation of 10% has been considered in each area. The system is verified with various controllers such as PI, PID, and nPID, and it is noteworthy that the reaction period of the system has improved, thus enhancing the stability when introduced with PEVs as a storage medium.