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This paper investigates dynamic stability and control design of modern electric energy systems as many MW-scale distributed generators (DG) of various types are deployed in the distribution side of electric systems. The paper is mainly concerned about small-signal frequency stability of distribution systems with decentralized or centralized control systems. The Gerschgorin Circle Theory and Hicks Stability Theory are used for verifying sufficient conditions for small-signal stability. The paper also discusses about designing advanced enhancing robustness methods to ensure both safety and stability of modern distribution systems. Finally, the paper closes with a discussion of policies needed to support large penetration of DG units in distribution systems to ensure safety and robustness of the system.