What is a principal advantage of distributed generation systems?

The principal advantage of distributed generation systems is the reduction of transmission losses. This occurs because distributed generation involves producing electricity close to the point of use, such as residential or commercial customers, rather than at a large, centralized power plant that may be located far away. When electricity travels over long distances through transmission lines, a significant portion of it can be lost as heat due to resistance in the wires. By generating power closer to the end user, these losses can be minimized, leading to more efficient energy use and better overall system performance.

In contrast, options that suggest increased reliance on fossil fuels or higher initial costs do not reflect the benefits typically associated with distributed generation. Additionally, centralized control contradicts the decentralized nature of distributed generation, which empowers local energy production and greater consumer choice.