That damn battery light!!

I've read the standard answer a number of times on this issue, but have yet to read a reply explaining alternate malfunctions other than the alternator. I'm pretty sure mine is good, but my light is on constantly. I'm getting a strong charge to the battery and have not encountered any consequences that would lead me to believe I am experiencing a failure. Is it possible that that the light is drawing power from another source? Or... I have considered the possibility that something may not have been plugged in properly when the new engine harness was recently installed, causing what might be a normally 'on' circuit to light the indicator in the dash?? Grasping, surely. I've been driving with the light on for nearly two months without issue and am reluctant to take it back for diagnostics as the bill for the last repair was extreme to say the least.

Battery could be a reason. Not holding sufficient amps.

The red light on the cluster comes on if the voltage is below 1.5 V. Fluctuations like 00-02 should not trip the light, in the cluster.

Here is the charging diagram from 95 740. Yours it is almost same.

page 12 :http://www.meeknet.co.uk/E38/BMW_95E...ng_diagram.pdf

There is a diode in the cluster, probably that one went bad. Have you checked the fuses in the front box? Look in the diagram to find them.

You are not the first one reporting the red light on with a possible good battery & alternator. There was a TSB issued a while back, read post #26 http://www.bimmerfest.com/forums/sho...=battery+light

If it were me, I'd test the alternator & battery and report the test results for analysis:
- DIY how to test a BMW battery & alternator

Dont think joy5 has his/her head round battery light function theory. Test out everthing first. IE Battery voltage, charging voltage, earths, joints and cables..