I define P is the average power. So $P=IV$ and $I=\frac{P}{V}$. $P_{loss}$ I define to be the power loss, which is equal to $I^2R$.
Substituting for $I$, $P_{loss} = \frac {P^2R}{V^2}$
So I get that the you need high voltage to minimise heat loss as R and P are constant.
However, I am confused about the following: Can I solve $P_{loss}=I^2R$ into $P_{loss}=IV$? I don't see why I can't, however, I am confident that I can't do this as then the loss in power would be equal to the average power, which doesn't make sense.