Electrical power is important for economic development and also to improve the quality of life. It will be key input to any activity related to economics in industrial, agricultural, trade, commercial or the service sector. A rapidly developing economy like India faces an ever increasing demand for electrical power. Power distribution is the last stage within the delivery (before retail) of electricity to end user. A distribution system carries power from the transmission system and delivers it

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... to customers. Typically, the distribution system would come with medium voltage (<50 KV) power lines, pole mounted transformers and electrical substations, low voltage (<1000V) generally electricity meters and distribution wiring. Distribution is that the important section of electricity price chain because it completes the revenue cycle. Sadly, in India, it's conjointly the weakest ling troubled because it is by poor monetary health, poor assortment efficiencies, poor governance, poor social control practices and lack of responsibility. The distribution sector caters to rural and concrete areas. Post restructuring of the electricity sector, most of the states have engraved out multiple distribution firms with its monopoly space. Presently Republic of India has seven classes of distribution entities The AT&C losses is one of the major problems of the Indian power sector, we know that India is struggling with the demand-supply gap existing in power sector and trying to recover these gap with different steps, and the AT&C losses is one of the major milestones of reducing the demand supply gap in the country, also it obligates a burden on the consumers as the T&D losses are included in the tariff that they are paying. The AT&C losses has two components technical losses and the commercial losses, the AT&C losses are 28.44% (average 2009) in the country, out of them most of the losses are of commercial only.