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The increasing amount of distributed generation (DG) in distribution networks (DNs) is giving rise to power quality and protection coordination problems. Issues like voltage regulation, flicker, harmonics and loss of coordination between circuit breaker and fuse need to be addressed for integration of DG into DN. This paper discusses these issues with a special emphasis on protection coordination problems. A typical DN with DG is modeled and simulation results for impact of DG on protection system coordination are presented and discussed here. Some solutions are proposed to cope with these problems.