The system and method described herein provide control for a power generating asset having a double-fed generator connected to an electrical grid. Accordingly, a non-deliverable component and a deliverable component of a total power output of a generator of the power generating asset is determined via a controller. A compensation module of the controller then determines a first control signal based, at least in part, on the non-deliverable component. The first control signal is configured to establish a modified rotor current setpoint. Additionally, a buffer module of the controller then determines a buffer control signal for a DC energy buffer based, at least in part, on the non-deliverable component. The DC energy buffer is operably coupled between a line-side converter and a rotor-side converter of a power converter of the power generating asset. In response to the first control signal and the buffer control signal the non-deliverable component is delivered to the DC energy buffer via the line-side converter, thereby precluding the delivery of the non-deliverable component to or from the electrical grid. The deliverable component of the total power output of the generator is delivered to the electrical grid.