This paper presents a hybrid algorithm that combines Particle Swarm Optimization (PSO) and Nonlinear Optimal Power Flow (OPF) in the optimal sitting and sizing of Distributed Generation (DG). The objective function considered is to minimize the power losses in distribution systems. The proposed approach makes use of a sensitivity index based on derivatives to identify the best candidate buses for sitting the DG. This index is considered in the PSO initial population aiming at reducing the search space, though, improving the convergence of the method. The OPF is then used to determine the optimal size of each DG. Results are compared with previous papers presenting different methodologies for the 69-bus radial distribution system to validate the proposed approach.
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