HD Hyundai Electric wins transformer order in UK... Worth 140.4 billion won

[Financial News] HD Hyundai Electric recently announced on July 31 that it has signed a contract to supply a total of 13 high-voltage transformers, including 12 units of 400 kilovolts (kV) and 1 unit of 275kV, with the UK power company National Grid. The order amount is 140.4 billion won, and the final delivery is scheduled for 2028. Among the transformers ordered, 11 are eco-friendly transformers. Eco-friendly transformers are products that replace the insulating oil with a plant oil-based synthetic oil that naturally decomposes instead of the conventional petroleum-based mineral oil. According to HD Hyundai Electric, they are suitable for renewable energy power plants, urban areas, and sensitive industrial facilities due to their lower fire risk. Insulating oil is an oil that plays a role in electrical insulation and cooling inside the transformer, maintaining electrical insulation between components and preventing overheating of the equipment. 
As high technical skills are required and the demand for eco-friendly products is increasing, the price of the products is also set high. This order follows the high-voltage transformer supply contract with a Scottish power company in May, achieving additional orders in just two months.
According to the International Energy Agency (IEA), the UK aims for complete decarbonization of the power sector by 2035, planning to increase the generation capacity of offshore wind, solar power, and nuclear power to 50 gigawatts (GW), 70GW, and 24GW, respectively. Accordingly, the need for replacement and expansion of power infrastructure facilities such as transformers is becoming more prominent.
An HD Hyundai Electric official said, “This order was achieved based on the experience and quality competitiveness accumulated in supplying synthetic oil transformers in the United States,” adding, “We will use this as an opportunity to expand the supply of eco-friendly products in the European market.”

kjh0109@fnnews.com Kwon Jun-ho Reporter