Selection of load buses for DG placement based on loss reduction and voltage improvement sensitivity

Distributed generation (DG) has emerged as a key option for promoting energy efficiency and use of renewable energy sources in alternative to the traditional generation. The DG sources are generally integrated to the network mainly to reduce the power losses, avoid congestion, improve voltage profile and provide electricity during peak load. This paper presents a method to select the load buses for the placement of DGs based on loss reduction and voltage improvement sensitivity of the system. The strategic placement of DGs can help in reducing power losses and improving voltage profile. The proposed work discusses some factors that can be useful for selecting the locations. Benefits of employing DGs are analyzed using voltage performance index (VPI) and loss sensitivity factor (LSF). The method has the potential to be used for integrating the available DGs by identifying the best locations in a power system. The proposed method has been demonstrated on standard 5-bus test system and IEEE 24-bus Reliability Test System (RTS).