This paper describes an alternative scenario for operation of medium voltage (MV) cable distribution grids. Grid losses are one of the largest expenses for distribution system operators (DSOs). In order to achieve a reduction of these losses a closed-ring operation strategy is proposed. By meanwhile introducing distribution automation into the grid, a high reliability can still be guaranteed. The paper starts with a brief description of the technical background of the proposed system. Secondly, an analysis is given of the grid loss reduction and reliability increment that can be achieved. This analysis is based on simulations done with real-life grid topologies, using measurement data and a future load demand prognosis.