Renewable energy sources are connected to the grid through inverters, resulting in reduced grid inertia and poor stability. Traditional grid-connected inverters do not have the function of voltage and frequency regulation and can no longer adapt to the new development. The virtual synchronous generator (VSG) has the function of voltage and frequency regulation and has more outstanding advantages than the traditional inverter. Based on the principle of the VSG, the relationship between energy storage capacity, frequency response and output power of the VSG is derived, and the relationship between the virtual inertia coefficient, damping coefficient and frequency characteristics of the VSG and output power is revealed. The mathematical model is established and modeled using the Matlab/Simulink simulation software, and the simulation results verify the relationship between energy storage capacity and frequency response and the output power of the VSG.