Voltage drop at ballast resistor

The drop in that circuit IS ADDED to the VR set point. Let's say the VR is correctly attempting to regulate at 14V nominal. Let's say you have a drop down to 10V at the resistor. That amounts to nearly 2 1/2 volts (from battery of 12.6 or whatever) This means the system (battery) will run at 14+2.5 SIXTEEN and a HALF volts!!