Proper operation of distributed generation resources (DGs) in power systems has considerable advantages, including decreasing losses, reducing congestion in feeders, improving voltage pro-file, and enhancing stability, reliability, and security. On the other hand, using capacitor banks helps improve voltage profile and power quality in distribution systems. The optimal allocation of capacitor banks (CBs) and DGs has a significant impact on the efficiency of the distribution systems. This paper presents a method for distribution system planning based on the optimal allocation of DGs and CBs. The main objectives of the proposed method are to improve the voltage profile, reduce investment and operation costs, and reduce renewable energy curtailment. The planning problem is solved through multi-objective scheduling based on a two-stage fuzzy meth-od and the ɛ-constrained optimization. The stochastic two-stage method is used to model uncertainty. The proposed method is implemented on an IEEE 33-bus test network in MATLAB and evaluated under three scenarios. It is proven that the voltage profile can be improved in the scenario of allocating capacitor banks based on lower investment costs compared to other scenarios. However, the voltage profile is improved more in the scenario of simultaneous allocation of capacitor banks and DGs by investing in more costs. In general, the proposed method properly im-proves the distribution system’s performance in different aspects.