Evaluating whether to recommend transformer ownership for a pharmaceutical plant with DTE. They're pulling about 1,200 kW consistently and currently on secondary service. The ownership credit looks attractive but I'm concerned about the maintenance responsibilities and potential liability issues. What's the group's experience with transformer ownership on industrial accounts?
Transformer Ownership Credits - Worth the Hassle?
Greg - we've done this with several large manufacturing clients and it's generally been positive. The key is making sure they have competent electrical staff or a good maintenance contract. DTE's ownership credit is pretty generous - usually covers the maintenance costs and then some. Just make sure they understand they're responsible for everything on the primary side.
Cindy's right about the staffing issue. I had one client who jumped into transformer ownership without proper preparation and ended up with a $15K emergency repair bill when a transformer failed on a weekend. If they can handle the responsibility, the savings are definitely there, but it's not for everyone.