Summary This paper presents a mixed-integer nonlinear optimization model for distributed generation (DG) placement in the distribution system. A multiperiod ac optimal power-flow model is developed for minimizing annual energy losses and determining the optimal site and size of DG units. Various system constraints and time-varying demands are incorporated in the model. A novel iterative method for solving the multiperiod DG placement problem based on the Benders decomposition technique is proposed, which reduces the computational burden and facilitates its practical application. Two case studies are presented to illustrate the efficacy of the proposed method. Copyright © 2014 John Wiley & Sons, Ltd.
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