Utility Dive•about 1 month ago
What does Trump’s wartime powers flex mean for transformers and other grid equipment shortages?
Key Takeaway
While the application of 'wartime powers' to address grid equipment shortages is a positive policy signal, its effectiveness in alleviating severe transformer backlogs and accelerating project timelines for developers and large loads remains to be seen.
AI Summary
- •Distribution transformer backlogs are currently exceeding one year, significantly delaying grid infrastructure projects.
- •The Trump administration is leveraging 'wartime powers' (likely Defense Production Act) to address grid equipment shortages, a move seen as a 'step in the right right direction' by NEMA.
- •The practical impact of this policy intervention on equipment availability and pricing remains uncertain, pending specific details and funding allocations.
- •Developers and large power consumers should anticipate continued supply chain challenges and potential project delays for grid interconnection and expansion until these measures take effect.
Topics
interconnectoempolicytransmission
Article Content
Spencer Pederson of the National Electrical Manufacturers Association told Utility Dive the move was a “step in the right direction,” but its impact will depend on details and funding. In the meantime, distribution transformer backlogs are running a year or more.