The voltage regulation of self-excited induction generator (SEIG) is an important performance index which decides its application for isolated mode operation. In this paper, performance of SEIG is investigated for feeding various types of load with respect to voltage drop characteristic. A constraint optimization problem featuring the voltage regulation is formulated. The objective function is subjected to various equality and inequality constraints related to SEIG operation and performance. The genetic algorithm (GA), a global search and optimization approach is used to obtain a combination of speed and shunt capacitance for optimum voltage regulation using steady state equivalent circuit. The simulated results corresponding to rated speed found close agreement with the experimental results for both static and induction motor loads.