This paper presents a dynamic model of Fuel cell system for residential power generation. The models proposedinclude a fuel cell stack model, reformer model and DC/AC inverter model. More then an analytical details ofhow active and reactive power output of a proton-exchange-membrane (PEM) fuel cell system is controlled.Furthermore a fuzzy logic (FLC) controller is used to control active power of PEM fuel cell system. Thecontroller modifies the hydrogen flow feedback from the terminal load. Simulation results confirmed the highperformance capability of the fuzzy logic controller to control power generation.