NAHB, Other Trade Groups Urge Congress to Act on Transformer Shortages

Legislative
Published
Contact: Alex Strong
[email protected]
Senior Director, Federal Legislative
(202) 266-8279

This post was updated on Dec. 8.

NAHB, along with five other building and utility trade groups, recently sent a joint letter to leaders of the House and Senate appropriations committees urging Congress to allocate $1 billion to address the growing supply-chain crisis for electric distribution transformers.

The letter stated that “throughout 2022, the electric sector and representatives from residential and commercial building sectors have been calling attention to the unprecedented supply-chain challenges both industries have been facing in procuring equipment used to maintain and grow the electric grid.”

Electric utilities continue to have significant problems in procuring distribution transformers needed to provide reliable electric service, and restore power following severe storms and natural disasters.

The trade groups noted that in housing construction, this is further exacerbating the ability of home builders to address the housing affordability crisis facing our nation.

NAHB has taken the lead in sounding the alarm since late last year that construction and electrification projects are being deferred or cancelled due to the inability to procure distribution transformer across all segments of the electric industry.

The trade groups informed lawmakers that orders for transformers that previously took two to four months to fill are now taking on average over a year. To address labor and material shortages focused specifically on the production of distribution transformers, Congress is being urged to use its authority under the Defense Production Act to expedite production of depleted stockpiles.

Other groups signing the letter along with NAHB were the American Public Power Association, Associated General Contractors of America, Edison Electric Institute, Leading Builders of America and the National Rural Electric Cooperative Association.

NAHB Members: Take Action Today

Reach out today to urge your members of Congress to support the implementation of the Defense Production Act to specifically address the supply chain crisis for electric distribution transformers. Follow this link to connect with NAHB’s grassroots tool that will automatically send a letter to your members of Congress on your behalf.

Act now.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Economics

Apr 27, 2026

Housing’s ‘Silver Tsunami’ Is Coming, But It Won’t Hit Every Market

The so-called “silver tsunami” describes the wave of millions of homes expected to hit the market as older Americans increasingly decide to sell their properties. However, industry experts are noting that this “tsunami” isn’t landing where it’s needed most.

Membership

Apr 24, 2026

Blueprint to 100: Industry Pulse Check Launches May 1

Blueprint to 100 is NAHB's initiative to build an association that better meets industry needs as we approach the 100th anniversary of our founding. The Industry Pulse Check — launching Friday, May 1 — is our first step in this initiative to gain the insights we need to build an association that meets your needs.

View all

Latest Economic News

Economics

Apr 23, 2026

The Silver Tsunami Isn’t Landing Where It’s Needed Most

The “silver tsunami” refers to the wave of housing inventory expected as older homeowners downsize or transition out of their homes. According to the latest American Community Survey, there are an estimated 61.2 million people in the U.S. aged 65 years or older, representing about 18% of the population.

Economics

Apr 22, 2026

State-Level Employment Situation: February 2026

February’s labor market data point to a notable pullback in employment, with job losses concentrated across a majority of states and only modest gains elsewhere. While January showed solid momentum, February’s decline reflects emerging softness in hiring conditions, alongside uneven performance across the country.

Economics

Apr 21, 2026

Population Growth and Housing Supply Dynamics at the County Level in 2025

U.S. population growth slowed notably in the latest Vintage 2025 population estimates from the U.S. Census Bureau, with the nation expanding by just 0.5% in 2025, roughly half the pace of the prior year. The deceleration was primarily driven by a sharp decline in net international migration (NIM), which dropped from 2.7 million to 1.3 million, while natural change remained relatively stable.