Distributed Generation (DG) resources have gained a lot of attention in recent times due to their positive impact on distribution system. Optimal planning of distribution system with distributed generation resources is not only concerned with the sizing of distributed generators but gives due weightage to the placement of generators as well. The installation of DG at optimum location boosts the performance of distribution system as well as presents a cost effective solution thus giving a new dimension to distribution system planning. The positive impacts of optimal distributed generator placement are reflected in terms of improved distribution system reliability, reduced customer interruption costs, reduction in losses and improvement in voltage profile as well as power quality at the consumer terminal. In order to enable electric utilities to obtain maximum benefits, the placement problem calls for state of art optimization techniques capable of handling multiple objective simultaneously in order to present the best feasible solution. This paper aims at providing an overview of several methodologies which have been adopted for finding out optimal location of distributed Generator in distribution system in order to maximize benefits.