In this paper, when photovoltaic systems are connected to distribution system, most effective capacity and location of PV system are studied considering customer interruption costs of power distribution system. The reliability model of PV system considering the duration of sunshine, the model of time-varying load and Roy Billinton test system (bus2 model) are used. To simulate the effects of PV system, various cases are selected; (1) base case which is no connection of PV system to power distribution system when faults are occurred, (2) 3MW case which is 3[MW] connection of PV system (3) 4[MW] case, and (4) 20[MW] case which is 20[MW] connection of PV system to the bus of power distribution system. The capacity limit of connected PV system is settled to 14[MW] for all cases except case 4. The reliability and customer interruption costs for residential, general, industrial, and educational customer is evaluated.