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Abstract The primary methods of assessing the reliability of distribution networks comprise analytic and simulation methods. However, both approaches require the identification and computation of network topology, which precludes their expression in explicit, continuous functions, consequently impeding the incorporation of reliability constraints into planning and operational optimization models. To tackle this restriction, the present work puts forth a novel linear‐programming‐based reliability assessment method that is mathematically formulated, considering distribution automation (DA) and distributed generations (DGs), consisting of both conventional and renewable energy sources. In this paper, the clustering method and the scenario‐based method are used to model DGs. Next, a mixed integer linear programming (MILP) model, considering the DA and DGs with the System Average Interruption Duration Index (SAIDI) as the optimization objective, is proposed. Finally, the feasibility and effectiveness of the proposed method are verified in a 37‐node distribution network system.