Abstract: It is not possible to achieve desired result with conventional PID regulators incases where industrial processes have unknown and/or varying parameters subject to stochastic disturbances.To solve this problem a new type of regulator has been designed on the basis of stochastic control concept.This regulator makes use of recursive least square estimation with minimum variance as performance function.The I/O signals are 0-10mA,d.c,ascommonly used in conventional analog instrumentation.Having the capability of on-line identification and real time control,the regulator is able to handle some control problems the conventional PTD regulator can't deal with satisfactorily.This paper describes the principle,hardware,software and its embodiment.The regulator has been used in the close-loop control of several simulated objects.Results show that this type of regulator is feasible and practical.