U.S. Senators Jerry Moran (R-Kan.) and Catherine Cortez Masto (D-Nev.) on Feb. 6 introduced a bill to encourage the domestic production of electric distribution transformers. The American Public Power Association supports the bill.
“The U.S. is in the middle of unprecedented demand for power transformers, which has left the energy sector uncertain about the stability of the future grid,” a news release related to the bill said. “Current production is unable to keep up with demand from new housing, data centers and more,” the news release noted.
The legislation, the Credit Incentives for Resilient Critical Utility Infrastructure and Transformers (CIRCUIT) Act, would expand the Advanced Manufacturing Production Credit (45X) to include distribution transformers to bolster the domestic energy economy.
“For years, public power utilities across the country have faced a severe and ongoing shortage of distribution transformers,” said Scott Corwin, President & CEO, American Public Power Association.
“This critical shortage threatens grid reliability, delays storm recovery, and dampens economic development,” he said. “The American Public Power Association applauds Senators Moran and Cortez Masto for introducing the CIRCUIT Act to incentivize domestic manufacturing of distribution transformers, and we urge its swift enactment.”
The full bill text can be found here.
