This paper introduces the concept of adaptive coordination of damping controllers for enhancing power system stability. The coordination uses phasor measurement units (PMUs) to adapt to different disturbances by selecting the switching status (on/off) of damping controllers that minimizes an energy-based dynamic performance measure. This dynamic performance measure, referred to as total action (TA), uses a physical interpretation of excited modes rather than fixed targeted modes as in the traditional damping control design. The coordination is formulated as a binary integer programming problem, which is solved by using the total action sensitivity (TAS). The concept of oscillation energy and the implementation of the adaptive coordination scheme is tested in the western North America power system (wNAPS). The results show that the proposed adaptive control scheme can improve oscillation damping for different short-circuit locations even in the presence of large communication delays.