Some percentage of units is lost in Primary and Secondary transmission and distribution network. High percentage of losses comes under secondary distribution i.e. at 440 V and 220 V. In India the Transmission and Distribution (T&D) losses have been consistently on higher side and reached to the level around 30% which is higher compared to the accepted International norms. As the T&D loss was not able to capture all the losses in the network, concept of Aggregate Technical and Commercial (AT&C) loss was introduced. High technical losses in the system are primarily due to inadequate investments over the years for system improvement works, which has resulted in unplanned extensions of the distribution lines, overloading of the system elements like transformers and conductors. The commercial losses are mainly due to theft & pilferages. The improvements of power system performance to bridge the gap between demands and supply and the minimization of cost of energy have assumed higher importance for the power utilities of developing countries hence the reduction of losses has significant impact on the revenue.
We can improve the system by converting Low Tension (LT) distribution network into High Tension (HT) distribution network. Converting LT lines to higher voltage consist high initial cost but after some specified time period this system is beneficial. In agricultural sector, if we go for High Voltage Distribution System (HVDS) system it connects cluster of 2 to 3 Agriculture (AGR) customers employed a small distribution transformer of capacity 7.5 KVA, 10 KVA, 15 KVA, 20 KVA, 25 KVA and 30 KVA through almost negligible LT distribution lines. In HVDS there are less distribution losses due to minimum length of distribution line, high quality of power supply with no voltage drop. Installation of additional distribution transformers of low capacity at each consumer’s premises instead of cluster formation will decrease the losses.