How can distributed generation contribute to grid reliability?

Distributed generation contributes to grid reliability primarily by providing localized energy sources during demand spikes. This localized generation helps to stabilize the grid, especially in times when demand exceeds supply. When renewable energy sources, such as solar panels or small wind turbines, are installed closer to where the energy is consumed, they can generate electricity right at the point of use.

This proximity means that during peak demand periods—like hot summer days when air conditioning use surges—these distributed sources can help meet increased energy needs without overburdening the central grid infrastructure. Moreover, if one area of the grid experiences a disturbance or failure, nearby distributed generation sources can continue to supply power, enhancing overall grid resilience.

In contrast, relying on centralized power plants often leads to a single point of failure, which can cause widespread outages during extreme demand situations. The other choices do not contribute positively to grid reliability; rather, they indicate scenarios that could make the grid less resilient or more dependent on external resources.