Senators from both sides of the aisle have come together to urge the Department of Energy (DOE) to reconsider its proposed rule to increase conservation standards for distribution transformers.

In a letter addressed to Secretary of Energy Jennifer Granholm, the bipartisan group of 47 senators highlighted the ongoing supply chain challenges and workforce shortage that have complicated the production and availability of these critical grid components.

The senators expressed concern that the proposed rule, which mandates a shift from the industry standard grain-oriented electrical steel (GOES) cores to amorphous steel cores, could exacerbate the current supply chain shortage. They argued that such a transition would require the sole domestic supplier of amorphous steel to significantly scale up operations to accommodate the entire distribution transformer market, further delaying production timelines estimated to be 18 months to two years.

While the senators acknowledged the importance of energy efficiency, they emphasized the need to allow GOES and amorphous steel cores to coexist in the market without government mandates. They called for the DOE to collaborate with stakeholders across the supply chain to develop a consensus-based approach to setting new standards and to leverage existing DOE authority to support domestic supply chains and address the persistent challenges facing distribution transformers.

The senators also requested a briefing with Secretary Granholm to discuss the path forward on the DOE's proposal and explore ways to alleviate supply chain challenges while bolstering grid reliability, national security, and the clean energy transition.

Source: publicpower.org