In Previous unit, you have learnt about the measures that can be adopted by power utilities for technical loss reduction. In this unit, we focus on reduction of commercial losses. You will agree that the monitoring and reduction of commercial losses is the key for commercial viability of the utility. Almost all the commercial losses occur at the distribution stage and that is where action has to be taken. Several steps need to be taken to reduce the commercial losses in the Distribution System. This unit will help you in comprehending the various measures, which can be taken for reduction of commercial losses. We begin by explaining the reasons for commercial losses and then suggest various measures for preventing them. In the next unit, we discuss the metering and billing system required to curb these losses.
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