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> Actually load shedding is planned power cuts.

Isn't that a rolling blackout? Load shedding is the technical term and can happen for a variety of reasons that are not based on policy.

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I suspect the semantics are about how long in advance it's planned. A day or two? Planned. An hour? Hard sell.
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The load shedding was a chronic problem. It lasted months if not years.

Example from year 2003 (city = Pune) [1]. Its hard to read

Excerpt:

The load shedding schedule is as follows:

  Group A: Monday 8 am to 11 am, Tuesday 11 am to 2 pm,Wednesday 3 to 6 pm, Saturday 11 am to 2 pm: Navi Peth, Gultekdi I and II, Dhankawdi, Padmawati, Old Parvati I and II, SNDT, G Block, Parsi agiary, City Apollo, Sant Tukaram, Kharalwadi. 

  Group B: Monday 11 am to 2 pm, Tuesday 3 pm to 6 pm, Friday 8 am to 11 am
[1] https://timesofindia.indiatimes.com/city/pune/mseb-announces...
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I just don't understand why government didn't step in and raise the price of electricity 5x.

It is better to have electricity 24x7 but only 50 watts to run a fridge, phone charger and one lightbulb, than to have electricity 3 hours a day but be running 1000 watts of airconditioners.

I guess perhaps energy theft was too hard to police?

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You’re assuming a far more functional system than what was going on.

“And there was no penalty for not paying—there were no regulations allowing the utilities to cut off a customer’s power.”

Collecting more money in a corrupt organization doesn’t means they will automatically get a more effective distribution system.

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Far enough in advance to be available in a printed newspaper. Planned.
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Planned collision with iceberg!
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Planned for the electric officials, unplanned for the consumers.

Nowadays, power cuts are announced via SMS in advanced. Before, this was not the case.

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Load shedding = it was done on purpose, not that it was pre-planned. If a sudden problem occurs, some areas can be cut to prevent wider failure. I would expect this to be largely automatic.
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There was some priority order to determine which circuits should be load-shed when there is a power shortage. For example while scouting datacenter sites across Delhi, Mumbai and Chennai, I learnt that 220KV lines were not part of load-shedding schedule whereas 66KV lines were. If you took power directly from the power generation company and had contracted power then also you were protected.
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