Micro grid is an automated power system that incorporates advanced modern communication techniques and control methodologies into power grid. Its smartness lies in the intelligent and efficient decision making layer which can be enhanced using multi agent system. In this paper, multi agent system has been used in cloud computing where task from the consumer nodes for computing are handled by agents in accordance with set up threshold value to make the system more intelligent. The consumer nodes tasks are categorized as under loaded, lightly loaded, normally loaded, overloaded and highly overloaded while execution. The idea of threshold policy has been introduced in the multi agent based cloud computing to ensure the improvement in performance. This concept of threshold mechanism for task execution in the multi agent system deployed in cloud computing results in reduction of waiting time, improved processing time and effective resource utilization. © 2018 IEEE.