Analysing the forecast of electricity grid losses

Electricity grid losses, having a relevant impact on the financial situations of all network operators, are a major concern both in the transmission and distribution sector. Understanding the physical phenomenon underlying electricity grid losses is important to identify proper measures for reducing it, without impacting the quality of service and/or supplied electricity. Forecasting the volume accurately is also a relevant and challenging objective. In this paper, we analyze the main aspects that have to be taken into account in the forecasting process. Furthermore, the sensitive issue of the “commercial losses” or nontechnical losses is addressed briefly, pointing out the main characteristics and the associated perspective.