NAHB and Other Groups Seek $1.2 Billion to Boost Transformer Production

Contact: Alex Strong
Senior Director, Federal Legislative
(202) 266-8279

NAHB and a coalition of energy, grid and builder associations have worked with Senate leaders to include an additional $1.2 billion in a spending bill to boost the production of sorely needed distribution transformers.

This is a critical issue for the housing industry, as NAHB members have reported that wait times for transformers often range from 12 to 24 months, and in some isolated cases, the lag time approaches three years. These delays are worsened by the fact that transformer prices have increased by 85% since the first quarter of 2018.

In a joint letter sent to Republican and Democratic Senate leaders, the coalition strongly supported a provision in the Senate Energy and Water Development Appropriations bill that specifically addresses the growing supply-chain crisis for distribution transformers.

“NAHB commends Senate leaders for working in a bipartisan manner to include $1.2 billion in supplemental funding to boost the production of sorely needed distribution transformers,” said NAHB Chairman Alicia Huey. “Soaring prices and shortages of electrical distribution transformers are delaying housing projects across the nation and increasing construction costs. Providing additional funding to boost production of distribution transformers will help home builders to construct more homes, satisfy unmet demand and ease America’s housing affordability crisis.”

Other members of the coalition include the American Public Power Association, Edison Electric Institute, The GridWise Alliance, the Leading Builders of America, the National Electrical Manufacturers Association and the National Rural Electric Cooperative Association.

View the coalition letter to the Senate.

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