The main electrical stations in Nellore owns and operates over 60,600 Distribution Transformers (DTs) and loses over 10,000 DTs annually either with major or minor problems. At present, manual calculations or peak load analysis scheme was using by the electrical board to determine the transformer load conditions and effect the load growth and transformer losses, which is a difficult task and doesn’t solve the problem of DT failure resulting from; load unbalance, over load, vandalism among others. Normally the efficiency of the transformer is 98% to achieve better DT performance in order to losses, a low cost monitoring system is required with commercial available systems with SCADA integration potential. The paper presents about a distribution transformer (DT) monitoring system implemented by monitoring load variations and relaying information concerning transformer load state, their losses and the whole data shares the information through the electrical lane. Furthermore, the system was able to store and analyze information received from the monitoring device concerning the transformer state. This system was able to benchmark the DT measurements to abnormal operation and take action before failure by giving alert or by open circuit of supply line. At that condition the current will be supplied through the load shearing methods. The future system will be integrated with a condition monitoring plug to ensure loss of life prediction.