Definition
The real power dissipated as heat when electric current flows through the resistance of transmission lines, transformers, and other conductors — calculated as I²R losses. Transmission losses increase with the square of current and with line length, which is why bulk power is moved at high voltages to reduce current for a given MW transfer. Losses reduce the net power delivered to load, constrain available transfer capability (ATC), and appear as a distinct component in locational marginal pricing (LMP) through marginal loss factors at each bus.
Topic Deck
Grid Operations
Source
FERC Pro Forma OATT / LGIP
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