Repair and Reuse Offer Alternatives to Long Waits for Electrical Equipment
Long delivery times for electrical equipment are encouraging utilities and manufacturers to reconsider what happens when transformers and switchgear age or fail. Repair, rental, reconditioning, and remanufacturing can help maintain operations, while recycling recovers materials when equipment reaches the end of its useful life.
A review published by Machinery Market on October 25 highlights how these approaches are already being applied across industrial facilities and electricity networks. The examples show that circular asset management can address procurement constraints while reducing the need to discard equipment with usable components.
Supply Constraints Strengthen the Case for Extending Equipment Life
The procurement challenge is particularly significant for large power transformers. In its July 2024 report to Congress, the U.S. Department of Energy (DOE) reported commonly quoted delivery times of 36 months, with some reaching 60 months. The report described a typical service life of around 40 years, while noting that many units remain operational considerably longer. These figures describe conditions documented in 2024, rather than a universal delivery schedule for orders placed today.
For asset owners, replacement decisions therefore involve more than comparing purchase prices. Installation requirements, production interruptions, equipment condition, and the availability of temporary capacity can determine which option is practical.
The U.S. Environmental Protection Agency (EPA) describes a circular economy as keeping products and materials in circulation for as long as possible. Applied to electrical infrastructure, this means assessing whether an asset can continue operating, be repaired, or supply components before recovering its constituent materials.
Rental and Repair Can Support Operational Continuity
Sunbelt Solomon provides an example of combining temporary equipment with longer-term asset recovery. According to the Machinery Market report, a pharmaceutical facility experienced the failure of a 12 megavolt-ampere substation transformer during summer.
The company supplied a rental transformer while arranging a reconditioned replacement. The failed equipment was also sent for repair, with its return scheduled before year-end. This approach provided capacity during the disruption while retaining the possibility of recovering the original asset.
Rental does not itself establish an environmental benefit. Its circular value depends on how equipment is maintained and redeployed, and whether it supports repair or continued use. For operators, however, temporary capacity can create time to evaluate options without leaving production dependent on a lengthy procurement process.
National Grid Reports Savings From Transformer Remanufacturing
National Grid has worked with Northeast Transformer Services (NETS) since 2005 to recover transformers for further service. In its account of the partnership, the utility reported that more than 69,000 transformers had been remanufactured.
National Grid reported approximately $4 million in annual cost avoidance. NETS estimated that refurbishment costs around half as much as purchasing new equipment. These are reported results from the partnership, rather than guaranteed savings for other operators.
The program has also recovered and reused 1.7 million gallons of mineral oil, 41 million pounds of metals, and 5.9 million pounds of other materials. Equipment unsuitable for refurbishment can still provide components or enter recycling streams. The distinction matters because retaining a functioning asset or component preserves value beyond the scrap value of its materials.
Switchgear Retrofits Can Preserve Usable Infrastructure
A paper mill case study published by Wesco demonstrates another route. The facility operated 50-year-old switchgear in a hot, dusty, and corrosive environment. Replacement equipment had lead times exceeding a year, while obsolete components and limited spare parts increased maintenance concerns.
An assessment found that the existing structures remained suitable for use. Wesco and a supplier partner therefore recommended replacing internal components through a low-voltage breaker retrofit.
Wesco reported savings of $700,000 compared with full replacement and a shorter implementation period. Retaining the existing structures also avoided extensive demolition, new cabling, and associated installation work. The case supports condition-based assessment, although it does not establish that similarly aged equipment elsewhere will be suitable for refurbishment.
Swedish Pilot Demonstrates Transformer Oil Recovery
Material recovery can also supply new equipment. In a pilot announced in October 2023, Hitachi Energy, E.ON, Stena Recycling, and Starke & Sohn GmbH Mineralölwerk established a recovery chain for transformer insulation oil.
Stena Recycling dismantled retired E.ON transformers. Starke & Sohn purified the recovered oil, and Hitachi Energy used recycled fluid in ten distribution transformers installed in Sweden. The company reported compliance with IEC 60296:2020.
Hitachi Energy reported approximately 90% lower embedded carbon emissions for the recycled oil compared with virgin mineral oil, based on Starke & Sohn’s internal estimates. At the transformer level, it estimated a reduction of around 5% from material extraction through manufacturing. The larger percentage therefore applies to the oil, rather than the complete transformer. The project also referenced the Ellen MacArthur Foundation’s mass-balance approach for complex supply chains.
Procurement Decisions Need Technical and Environmental Evidence
The National Institute of Standards and Technology (NIST) identifies material separation, product design, and recycling economics as factors influencing recovery. Its analysis reinforces the importance of planning for eventual dismantling and material handling.
For utilities and industrial buyers, these examples support assessing circular options alongside new equipment procurement. Relevant questions include remaining service life, electrical performance, testing records, warranty coverage, installation costs, and expected downtime.
Environmental comparisons also need consistent boundaries. Avoided manufacturing should be considered alongside refurbishment inputs, transport, and operating performance. The practical opportunity is to preserve equipment and materials where evidence supports continued use, while directing unsuitable assets toward appropriate recovery.
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