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With the construction of interconnected power grid and the rapid development of clean energy, the frequency problem of power system is becoming increasingly prominent. The problem of ultra-low frequency oscillation affects the stability of system frequency. In order to analyze the frequency regulation characteristics of the system, it is necessary to study the local active power control link and stability calculation model of the hydropower plant computer monitoring system. In this paper, the influence of the local active power control link of the monitoring system on the system frequency small signal stability is studied, and the model is built in the simulation program. Through the simulation of 4-machine-2 regional power grid, the influence characteristics of local active power control on frequency dynamic damping level are verified. In the example of large power grid, the coordination between the local active power control of the monitoring system and the speed regulation system of hydropower units is comprehensively considered, the suggestion of coordination of multi-level frequency modulation resources to system frequency regulation is put forward.