Abstract: The location and capacity of distributed generation (DG) have great influence on distribution network, so issues on locating and sizing of DG are discussed in this paper. The models of different types of DG used in power flow calculation are introduced, and voltage stability index is also analyzed in detail. Then DG locating method based on voltage stability index is presented, and the influence of DG on network power loss and voltage quality in distribution network is analyzed. In addition, the objective function of DG locating and sizing to reduce network power loss and improve voltage quality is proposed, and hybrid intelligent algorithm is used to solve it. In the end, analysis of example demonstrates the effectiveness of the proposed method.