Purpose: Localizing the sources of electrical activity from electroencephalographic (EEG) data has gained considerable attention over the last few years. In this paper, we propose an innovative source localization method for EEG, based on Sparse Bayesian Learning (SBL). Methods: To better specify the sparsity profile and to ensure efficient source localization, the proposed approach considers grouping of the electrical current dipoles inside human brain. SBL is used to solve the localization problem in addition with imposed constraint that the electric current dipoles associated with the brain activity are isotropic. Results: Numerical experiments are conducted on a realistic head model that is obtained by segmentation of MRI images of the head and includes four major components, namely the scalp, the skull, the cerebrospinal fluid (CSF) and the brain, with appropriate relative conductivity values. The results demonstrate that the isotropy constraint significantly improves the performance of SBL. In a noiseless environment, the proposed method was 1 found to accurately (with accuracy of >75%) locate up to 6 simultaneously active sources, whereas for SBL without the isotropy constraint, the accuracy of finding just 3 simultaneously active sources was <75%. Conclusions: Compared to the state-of-the-art algorithms, the proposed method is potentially more consistent in specifying the sparsity profile of human brain activity and is able to produce better source localization for EEG.