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Terms > Glossary D > Distributed Generation (DG)

Distributed Generation (DG)

Formal
Decentralized, modular, and flexible power generation located close to the serviced loads.
Practical
Distributed microgrids can control smaller areas of demand with distributed generation and storage capacity. It reduces the amount of energy lost in transmitting electricity as the electricity is generated very near where it is used, perhaps even in the same building. This also reduces the size and number of power lines that must be constructed.

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