i applied dfao in my sklight since it is set to movable.
Everything works fine except on my plant foliage. My dfao is also just applied to my trees and that one specific plant. I dont know why it is not working for my grass.
I read somewhere that there is a workaround… that i need to set my distance field ambient occlusion of my mesh to 0. I did that but the dfao is still there. I wouldnt mind but it looks really weird.
set back the DF res.scale to 1 its needed i guess otherwise it will look crappy and low.res,
if u painting instances on landscape using foliage then there is option to use dynamic shadows and cast shadow as 2sided mat set both to true it might work!, you will find it in foliage setting panel.
and btw i still facing the same problems with DFAO/DFGI(the DFGI is removed from 4.16 may be! ) there is a thread i created do join it and spread the word about it. !
Just in case anyone is still looking for a solution what worked for me was changing the Material shading model to Two Sided Foliage. It seems to have the expectation that distance field AO should not treat this like it would any other default lit opaque or masked thing. Have you tried that out?