I can't understand why Induction Generator when diving stand-alone load must be provided with capacitance bank. In fact I am not sure as how induction generator works at all. Here is my attempt. When the rotor rotates, then due to residual flux initially some voltage will induce in the rotor, so current flows and that creates rotating magnetic field relative to the rotor. This in turn will create stator emf and hence stator current will flow that will again create rotating magnetic field relative to stator. These two field re-in force and the phenomena rises in magnitude. If the above crude description is correct where has the capacitor to come?