Technical Losses in Power Networks: Mechanisms, Mitigation Strategies, and Future Directions

Technical losses (TLs) in power systems are an inevitable outcome of energy dissipation in components such as conductors, transformers, and transmission lines. These losses arise from the combined effects of material properties, operational conditions, and environmental factors, creating ongoing challenges for energy efficiency and grid sustainability. Their reduction requires a coordinated approach that integrates material improvements, smart grid technologies, and optimized operational practices. Reducing TLs not only improves economic efficiency but also contributes significantly to global sustainability efforts by enabling more efficient energy use and reducing carbon emissions associated with power generation. A review of recent publications shows that the literature on network losses is heavily skewed toward non-technical losses (NTLs), with TL-focused studies being fewer, often dated, and lacking comprehensive scope. This paper addresses the existing research gap by presenting a comprehensive, section-oriented taxonomy of TL mechanisms in power systems, accompanied by precise definitions for each category and a direct linkage between these categories and applicable loss mitigation measures. In addition, selected real-world projects and global initiatives aimed at reducing TLs, together with current regulatory approaches, emerging trends in this domain, and an assessment of the maturity level of technologies employed for TL reduction, are analyzed. This study aims to serve as a scientific reference to support future research and to guide policymakers, regulators, and utilities in developing more effective strategies for minimizing TLs.