What is a key characteristic of distributed generation systems?

A key characteristic of distributed generation systems is that they provide energy closer to the point of use. This is a defining feature of distributed generation, as it emphasizes the decentralization of energy production. By generating electricity near the demand points, distributed generation systems reduce transmission losses and enhance the overall efficiency of the energy system. This proximity also allows for increased reliability and resilience, as localized energy production can support consumption during outages or peak demand periods.

In contrast, relying on centralized energy sources, being limited to fossil fuels, or not being able to integrate with the grid does not accurately describe distributed generation systems. Distributed generation is designed to complement and integrate with the existing energy grid, utilizing a variety of energy sources, including renewables like solar and wind, as well as traditional fuels. Thus, the capacity for connectivity and flexibility with other energy systems is another important aspect of distributed generation.