Electrical energy is very important for day to daylife .wherever the Electricity isneeded more; the power theft is also increased. Electricity theft, which is arises due to population and also wastage of power. The usage of power is more in industries compare to houses. Objective of this project is to design a system in order to avoid the inconvenience for the users from theft bill by using GSM module. In this system the GSM MODEM is used for detect the theft while it’s happen. The sensor is used to sense where will be the theft occur. The sensing information is intimated to the consumer office through the sensors in the form of message signal or a voice message. So the illegal power usage of power consumption can be avoided. The load sharing is as method, used to share the electricity power for all the users in a particular area. The load sharing circuit is connected to each and every pole in the transmission line. It can receive the incoming power from   the load and it delivers the power to the consumer for their need. If any drastic change in the power usage, the Real Time Clock (RTC) is used to gives the information about the usage of additional power usage. So it is help to detect the theft when and where it happens.   The entire system is for detect and avoid the illegal usage of power. In order to integrate the various systems together we must first properly understand the working of the entire system. A brief study is alone on the components and the technology which we are going to use in our project.