Energy systems are considered to be distributed if:
- the systems are connected to the distribution network rather than the transmission network, which implies that they are relatively small and dispersed (such as small-scale solar PV on rooftops) rather than relatively large and centralised; or
- generation and distribution occur independently from a centralised network.
It includes energy services for electrification, cooking, heating and cooling that are generated and distributed independent of any centralised system, in urban and rural areas of the developing world.
