This research presents the photovoltaic integrated distributed energy generation system for sustainable energy development considering reliability indices and levelized cost of energy (LCOE). The reliability indices calculate based on failure rates, repair times and annual outage times in Electrical Transient and Analysis Program (ETAP) software. Expected interruption cost (ECOST) in reliability indices is evaluated with the analytical method. It is used based on the customer damage function

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... F) according to the survey in the test area. In this research, the calculation of the levelized cost of energy (LCOE) describes from 2018 to 2025. The case study of this paper is carried out on one of the distribution system which consists of 11 kV Samundri feeder line feed from 132 kV distribution grid station located in Faisalabad, Pakistan. The design and annual energy production of integrated photovoltaic system is evaluated by using HelioScope simulation tool. According to reliability assessment of test system before integrating PV DG, average service availability index (ASAI) is 0.9642 pu and average service unavailability index (ASUI) is 0.03585. Then, expected energy not supplied (EENS) is 643.359 MWh/year. After integrating PV DG, average service availability index (ASAI) is 0.9735 pu and average service unavailability index (ASUI) is 0.02645. Then, expected energy not supplied (EENS) is 469.882 MWh/year. Based on EENS, after integrating the PV DG the system reliability is increased by 27.0 percent. Similarly before PV DG integration, expected interruption cost (ECOST) is 322,210,390.15 PKR/year and after integration expected interruption cost (ECOST) is 189,239,286.16 PKR/year.