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Ideally, diesel hybrid autonomous power systems would operate with high penetration of renewable energy sources such as wind and photovoltaic to minimize fuel consumption. However, since these are inherently intermittent and fluctuating, the grid-forming diesel engine generator sets are usually required to operate with larger amounts of spinning reserve, often at low loading conditions what tends to increases operating and maintenance costs. Frequency stability is of great concern in “small” systems, such as mini-grids, where any individual generator in-feed represents a substantial portion of the total demand. There, the initial rate of change of frequency is typically larger and a lower value of frequency can be reached in a shorter time than in conventional systems with all generation supplied by rotating machines, possibly resulting in under-frequency load shedding and tripping of renewable energy generators. The first part of this paper, discusses some general concepts regarding frequency stability in a diesel hybrid mini-grid and how energy storage systems can be used to enhance system performance. Then, a particular technique based on a virtual synchronous generator is presented and its effectiveness is demonstrated with simulation results.