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The extent of distributed generation (DG) that can be connected to a distribution network is often limited by the permissible voltage limits. The DG not only raises voltage but also modifies network fault current and may cause problems on existing distribution network protection schemes. Voltage control by active management can increase the level of DG penetration but requires an assessment of the voltage at each point on the network. Active management of the distribution network (DN) must also be practicable for the generators and the network operator. The paper presents possible solutions to some of the problems of active management and protection of distribution networks with higher penetration of DG. The paper also addresses the issues of costs and benefits of active management and DG islanded operation.