Write the main causes of business losses?

Friends, today in this article we will know  about the main reasons of business losses.  I am going to give information about all these in a very good way. So let’s start.

Major causes of business losses

Technical losses are reduced by improving the transmission and distribution system but these improvements do not have any effect on commercial losses. The main causes of commercial losses are as follows-

Direct tapping by non-customer

The main reason for commercial losses is direct tapping by non-customers. Under this, consumers take direct supply on the distribution lines due to which the energy charge cannot be estimated correctly. This charge is included as a loss.

To prevent such tapping by non-customers, single conductor system should be used in the distribution system. This type of tapping distribution system is mostly used by domestic and agricultural consumers.

Faulty billing, collection and measurement system

The main reason for business losses is faulty energy meters and improper billing process. At present, the number of such consumers is high who are consuming energy without energy meters. This energy consumption is included as losses. For this, a direct system of collection of energy charges should be made. At present, provision of digital collection is being made. Under this, the actual energy charges can be paid from the homes of consumers.

Theft of electrical energy

Consumers’ bills are prepared on the basis of their consumption of electric energy. Hence, the difference between the actual energy consumption and the electricity bill is called commercial losses. The main basis of the electricity bill is the electric meter. If the meter is slowed down mechanically, the charge for energy consumption will not be correct. Tampering in electric meters: The reading of electric meters is changed by bypassing the meters. When the connection of electric meters is changed in the order of wires, the units measured by the electric meters start changing. At present, the main source of electricity theft is the tapering change in energy meters. To reduce the possibility of theft in electric meters, digital ports are installed in the meters, in which all types of information are stored. Also, the excess demand consumed by consumers is also recorded. The main reason for economic progress in developed countries is the reduction in technical and commercial losses. If the energy consumption exceeds the prescribed limit, the electricity companies levy additional charges on the consumers, which creates additional pressure on the consumers to consume energy within the prescribed limit.

The incidents of electricity theft are maximum in rural areas as compared to urban areas. Hence, arrangements should be made to stop incidents of electricity theft in rural areas.

What did you learn today :-

Now you must have known  the main reasons for business losses and  you must have got the answer to all these questions very well.

I hope you liked the information given by me, if you have any question/suggestion in your mind, then you can tell me by commenting below, I will definitely reply to your comment. If you liked this post, then you can also share it with your friends and relatives.

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