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Voltage fluctuations are common disturbances in power grids. Initially, it is necessary to selectively identify individual sources of voltage fluctuations to take actions to minimize the effects of voltage fluctuations. The selective identification of disturbing loads is possible using a signal chain consisting of demodulation, decomposition, and assessment of the propagation of component signals. The accuracy of such an approach is closely related to the applied decomposition method. This article presents a new method for decomposition by approximation with pulse waves. The proposed method allows for a correct identification of selected parameters, that is, the frequency of changes in the operating state of individual sources of voltage fluctuations and the amplitude of voltage changes caused by them. This article presents results from numerical simulation studies and laboratory experimental studies, based on which the estimation errors of the indicated parameters were determined by the proposed decomposition method and other empirical decomposition methods available in the literature. The real states that occur in power grids were recreated in the research. The metrological interpretation of the results obtained from the numerical simulation and experimental research is discussed.