3% Voltage Drop Rule

On critical DC circuits the loss on the cable is expected not to exceed 3% of the supply voltage. In a 12 V system that means 0.36 V, in a 24 V system 0.72 V. On non-critical circuits such as lighting, a tolerance of up to 10% is accepted; remote control and driver supplies count as critical.

The rule is not a comfort preference but a design margin. An electronic board usually shuts itself down or limits its output below a certain voltage; every volt lost on the cable eats into that margin. Also, a measurement is not taken while the battery is not already full: a nominally 12 V system can fall to 11.5 V under load, and the cable loss adds on top of that.

You can reverse the calculation to find the cross section: A = 2·ρ·L·I/ΔU. To carry a load drawing 20 A at 12 V over 5 m with 0.36 V loss, A = 2·0.0175·5·20/0.36 ≈ 9.7 mm², so in practice 10 mm² is needed. If the same load were supplied at 24 V, the current would halve and the permitted loss would double, and the required cross section would become noticeably smaller.

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