April 04, 2024

“NEMA is reviewing the Department of Energy’s (DOE) final rule on distribution transformer efficiency in depth and through the multiple lenses of grid reliability, supply chain resiliency, and energy efficiency. Our nation’s ability to meet growing demand for electricity relies on a readily available supply of distribution transformers. DOE’s January 2023 proposed rule was unnecessary and burdensome, and we appreciate that the Biden Administration and DOE have been engaged with electrical manufacturers throughout this regulatory process.

“For more than a year, NEMA and our broad coalition of manufacturers, utilities, homebuilders, EV suppliers, steel suppliers, and organized labor have highlighted ways to address the shortcomings of the proposed rule and to focus on the actions needed to deliver long-term certainty and practical efficiency gains. While at first glance, this final rule appears to be a significant improvement on what was originally proposed, we remain concerned that the rulemaking may exacerbate supply chain challenges and long lead times for these critical grid components. Electrical manufacturers value DOE’s constructive engagement on this rule, and we are eager to find solutions that deliver the Administration’s electrification and decarbonization efforts.”