Abstarct: Improvement of electrical railway transportation systems from one point of view and increasing price of energy from another, make energy management of these systems an interesting subject for researchers. One of the most common ways of reducing energy consumption in electrical railway transportation systems is using the regenerative braking energy. The energy that has been fed back to grid in braking periods can be used in other time like acceleration period. By using regenerative braking energy in addition to reducing energy consumption benefits such as line voltage regulation and peak power shaving can be obtained. In this project a simple network with three stations, two DC substations and two vehicles are modeled. Energy storage system is designed for this network and a new control strategy baxsed on average modeling of the converter is proposed. The energy storage system is stationary and the energy storage device is lithium ion supercapacitor. As a result of proposed control strategy, reduction of energy consumption, voltage regulation improvement and peak power shaving are obtained.