Exhibit 2 - Presentation - CCOH & UG Transformer RFQ
8064
Randy Key
Electric Engineering Supervisor
Electric Engineering
10/18/2022
File ID 22-2058
1
Demand
•DME plans material needs 9 months in advance
•Project requirements
•Lead Times
•50 active projects requiring transformers
•Maintenance Work
•Transformer Failure
•Damage due to accidents
•Upgrades
•Normal replacements
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10/18/22 File ID 22-2058
Supply
•Inventory Levels
•353 in stock (Extremely low)
•1,238 purchased and are awaiting arrival
•Lead time: 60 weeks (can be up to 150 weeks for a vendor) for single phase, pad-mounted and
overhead transformers
•Industry reports that ALL 2023 production has been committed
•Orders placed today will likely be delivered in later 2023 or 2024
•All inventory and ordered transformers have been allocated to future projects and maintenance
•Deliveries have been less than reliable -sporadic and less than ordered quantities received
•Higher than expected failures upon testing
•Price of the transformers units on average has increased 150%, with our most used residential
transformers increasing by an average of 267%.
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Item Percent Price Increase
50kVA 240/120 Pad 251%
75kVA 240/120 Pad 278%
100kVA 240/120 Pad 267%
167kVA 240/120 Pad 272%
10/18/22 File ID 22-2058
Funding
•Transformers purchased are based on varied electrical demands and secondary voltages as outlined in
DME’s Tariffs and Electric Service Standards.
•Projected Spend:
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Project Description Estimated 5-Yr Expenditure
Year 1 $15,000,000
Year 2 $15,000,000
Year 3 $15,000,000
Year 4 $15,000,000
Year 5 $15,000,000
Total $75,000,000
10/18/22 File ID 22-2058
Questions?
5
Randy Key
Electric Engineering Supervisor
10/18/22 File ID 22-2058