Time delays exist in most of the electronic components, digital controllers and DSPs. Certain values of time delay can easily corrupt the performance of a power control system. This time delay can strictly disturb the system dynamic in power control applications with low to medium switching frequency. In this paper, we overcome the effect of time delay in an SVPWM based switching pattern for a grid connected three-phase current source inverter. The time delay is tracked in real time and the states of the system are estimated. Our experimental results clearly show that the proposed approach can compensate the effect of the time delay and improve the quality of the performance.