The simultaneous placement of solar photovoltaics (SPVs) and battery energy storage systems (BESSs) in distribution systems is a highly complex combinatorial optimization problem. It not only involves siting and sizing but is also embedded with charging and discharging dispatches of BESSs under dynamically varying system states with intermittency of SPVs and operational constraints. This makes the simultaneous allocation a nested problem, where the operational part acts as a constraint for the planning part and adds complexity to the problem. This paper presents a bi-layer optimization strategy to optimally place SPVs and BESSs in the distribution system. A simple and effective operating BESS strategy model is developed to mitigate reverse power flow, enhance load deviation index and absorb variability of load and power generation which are essential features for the faithful exploitation of available renewable energy sources (RESs). In the proposed optimization strategy, the inner layer optimizes the energy management of BESSs for the sizing and siting as suggested by the outer layer. Since the inner layer optimizes each system state separately, the problem search space of GA is significantly reduced. The application results on a benchmark 33-bus test distribution system highlight the importance of the proposed method
