Superconducting Magnetic Energy Storage (SMES) can inject or absorb real and reactive power to or from a power system at a very fast rate on a repetitive basis. These characteristics make the application of SMES ideal for transmission grid control and stability enhancement. The purpose of this paper is to introduce the SMES model and scheme to control the active and reactive power through the power electronic device. Furthermore, an optimal priority scheme is proposed for the combination of active and reactive power control to be able to stabilize power transient swings.