Simultaneous optimal location and sizing of DGs in distribution system considering different types of MGs in an electricity market

The implementation of distributed generation (DG) units in power systems has been increasing in the last years. Among many of their advantages, voltage improvement and loss reduction can be obtained by the optimum inserting DGs into distribution networks (DNs). The present study suggests a methodology for optimization of DGs in the DN. Various types of microgrids are also considered to be connected to the DN and can inject electricity into the system in a deregulated electricity market. The proposed methodology provides the possibility of comparing, purchasing electricity from the microgrids, installing any distributed generation units, injecting electrical power from the main bus, as well as the penalty for environmental emissions, power losses, fuel consumption, and etc. The simulation results depict that as the microgrids are considered in a grid-connected mode in the distribution system, the power losses reduce from 1100 to 850 kW. In addition, if the DN is responsible for providing the loads of the MGs, the amount of fuel consumption is equal to 42.167 M-Liters during a year. In addition, there is about 27% reduction in the fuel consumption when the optimum interaction between the microgrids and the system are considered.