We have handled many transformer losses, but this one became the most expensive. The inter-turn failure of windings of a 450 MVA unit in the British Isles and subsequent contamination rendered the unit a total loss.
Most lead times quoted for replacement were in the region of two years, making the BI eyewatering.
However, we identified through experts instructed on the case that a new replacement could be sourced from the Far East in six months. Other mitigation possibilities were considered, but ultimately dropped.
This unit was acquired, but the BI Indemnity Period coincided with a summer of very little wind generation and consequently power prices were well above average. The loss ultimately settled for almost £50m. Less than 20% comprised PD, illustrating the huge benefit in locating the replacement transformer, as the BI would have been far more significant without it.
