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A new model for distribution system reconfiguration (DSR) integrated with optimal power flow (OPF) and optimal capacitor switching (OCS) based on a hybrid approach is proposed in this paper. The objective is to minimize the generation cost of the whole distribution power system, and is subject to constraints such as capacity limit of branches, minimum and maximum power limits of substations or distributed generators, bus voltages limits, and radial optimal operation of networks. A hybrid approach combined with Improved GA (IGA) and OPF is applied to solve the complicated model. In this approach, OPF is used to solve DG economical dispatching problem with the security constraints, and IGA is used to optimize the distribution structure and capacitor switching. In order to improve the performance of GA, we adopt the way of virtual bus successive merging to repair infeasible individuals, and introduce local searching individuals to balance the GA's global and local optimization ability. The proposed approach is demonstrated using two example systems from the literature. Computational results illustrate the validity and efficiency of the proposed model and algorithm.