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The problem of capacitor allocation for loss reduction in electric distribution systems has been extensively researched over the past several decades. This paper describes the evolution of the research and provides an evaluation of the practicality and accuracy of the capacitor placement algorithms in the literature. The intent of this paper is not to provide a complete survey of all the literature in capacitor allocation, but to provide researchers and utility engineers further insight into the choices of available capacitor allocation techniques and their respective merits and shortcomings. Furthermore, this paper serves as a useful and practical guideline to assist in the implementation of an appropriate capacitor allocation technique.

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