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Abstract: We propose novel techniques to find the optimal location, size, and power factor of distributed generation (DG) to achieve the maximum loss reduction for distribution networks. Determining the optimal DG location and size is achieved simultaneously using the energy loss curves technique for a pre-selected power factor that gives the best DG operation. Based on the network’s total load demand, four DG sizes are selected. They are used to form energy loss curves for each bus and then for determining the optimal DG options. The study shows that by defining the energy loss minimization as the objective function, the time-varying load demand significantly affects the sizing of DG resources in distribution networks, whereas consideration of power loss as the objective function leads to inconsistent interpretation of loss reduction and other calculations. The devised technique was tested on two test distribution systems of varying size and complexity and validated by comparison with the exhaustive iterative method (EIM) and recently published results. Results showed that the proposed technique can provide an optimal solution with less computation.

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