The radial distribution networks are designed for unidirectional power flows and are passive in nature. However, with the penetration of Distributed Generation (DG), the power flow becomes bidirectional and the network becomes active. The integration of DGs into distribution network creates many issues with: system stability, protection coordination, power quality, islanding, proper placement and sizing etc. Among these issues, the two most significant are optimal sizing and placement of DGs and their protection coordination in utility network. The proper coordination of relays with high penetration of DGs placed at optimal location increases the availability and reliability of the network during abnormal operating conditions. This research addresses most of the available methods for efficient sizing and placement of DGs in distribution system (numerical, analytical and heuristic) as well as the developed protection coordination techniques for utility networks in the presence of DGs (Artificial Intelligence (AI), adaptive and non-adaptive, multi-agent, hybrid). This paper indicates the possible research gaps and highlights the applications possibilities and methods’ limitations in the area of DGs.