Electrical utilities must make their operation more efficient. So, reducing losses in distribution networks remains nowadays ail unsolved problem of considerable importance for sound management of any utility, especially ill countries with high level of losses. The first step for sound loss management and elaboration of loss reduction measures is analysis of the loss situation in the network. This paper describes a strategy for analysis of energy losses and identification of the sources of excessive losses ill distribution networks with the purpose of subsequent more detailed investigations and development of action plans to solve the overall problem.