A method for controlling a wind farm including a plurality of wind turbines is provided. The method includes computing an error between a farm-level base point power and a measured wind farm power, generating an aggregated farm-level active power set point for the wind farm based on the error and a frequency response set point, generating aggregated turbine-level active power set points based on the aggregated farm-level active power set point, transmitting the aggregated turbine-level active power set points, determining aero power set points and storage power set points for the respective wind turbines and energy storage elements of the respective wind turbines from the aggregated turbine-level active power set points, and controlling the plurality of wind turbines for delivering aero power based on the respective aero power set points and controlling the energy storage elements to provide storage power based on the respective storage power set points.