Optimal Placement and Power Supply of Distributed Generation to Minimize Power Losses

An increasing number of renewable energy-based distribution generation (DG) units are being deployed in electric distribution systems. Therefore, it is of paramount importance to optimize the installation locations as well as the power supply of these DGs. The placement of DGs in the grid can decrease the total distance that power is transmitted and thus reduce power losses. Additionally, the reactive power supply from the DGs can further reduce power losses in the distribution grid and improve power transmission efficiency. This paper presents a two-stage optimization strategy to minimize power losses. In the first stage, the DG locations and active power supply that minimize the power losses are determined. The second optimization stage identifies the optimal reactive power output of the DGs according to different load demands. The proposed approach is tested on the IEEE 15-bus and the IEEE 33-bus systems using DIgSILENT PowerFactory. The results show that the optimized power losses can be reduced from 58.77 kW to 3.6 kW in the 15-bus system, and from 179.46 kW to around 5 kW in the 33-bus system. Moreover, with the proposed optimization strategy, voltage profiles can be maintained at nominal values enabling the distribution grid to support higher load demand.