Renewable energy sources have power quality and stability issues despite having vast benefits when integrated with the utility grid. High currents and voltages are introduced during the disconnection or injection from or into the power system. Due to excessive inverter switching frequencies, distorted voltage waveforms and high distortions in the output current may be observed. Hence, advancing intelligent and robust optimization techniques along with advanced controllers is the need of the hour. Therefore, this article presents an improved arithmetic optimization algorithm and an offset hysteresis band current controller. Conventional hysteresis band current controllers (CHCCs) offer substantial advantages such as fast dynamic response, over-current, and robustness in response to impedance variations, but they suffer from variable switching frequency. The offset hysteresis band current controller utilizes the zero-crossing time of the current error for calculating the lower/upper hysteresis bands after the measurement of half of the error current period. The duty cycle and hysteresis bands are considered as design variables and are optimally designed by minimizing the current error and the switching frequency. It is observed that the proposed controller yields a minimum average switching frequency of 2.33 kHz and minimum average switching losses of 9.07 W in comparison to other suggested controllers. Results are validated using MATLAB/Simulink environment followed by real-time simulator OPAL-RT 4510.