Transformers Business Unit

Transformers are key for power infrastructures to successfully transport energy from the point of generation to its consumption. They enable voltage conversion, stepping up or down electrical energy as necessary, minimizing losses, and maintaining the stability of the power grid. They are present along the process of generation, transmission, and distribution of electrical energy to industries and final consumers and are playing an essential role in the evolution of sectors such as renewables and mobility, as well as new infrastructure for datacenters.

Transformers are designed by prioritizing their efficiency, resilience and longevity, by strategically selecting special component materials to accommodate high electrical, mechanical, and thermal loads and stresses. The materials used in transformers are key to regulate the electricity voltage and control the power flow to ensure grid stability, mitigate overloads, and prevent blackouts. These materials are essential to the energy transition and are becoming more and more scarce: copper, grain-oriented electrical steel, cellulose paper, among many other components. They must meet customized design requirements and rigorous technical specifications to ensure efficient, reliable, and safe operations during 30 to 40 years or even longer. Furthermore, transformers are critical in the seamless integration of renewable energy sources into the grid, to successfully contribute to the 2050 net-zero carbon emissions target¹.

Taking into consideration this urgency to accelerate the energy transition, Hitachi Energy is committed to act and drive business in a sustainable way  with its “Sustainability 2030” strategic plan. It combines innovative solutions with a diverse and inclusive company culture, and it is aligned with the UN’s Sustainable Development Goals (SDGs)by focusing on four key areas: people, peace, planet, and partnerships. Based on this purpose, Hitachi Energy commits to a 50% reduction of waste by 2030 (compared to the 2010 base).

As transformers are highly material and energy-intensive equipment, we continuously work at Hitachi Energy to incorporate Eco-Design principles in our product development phase, to increase the circularity potential across the portfolio. Nowadays, transformers are highly recyclable and for new units, we have decommissioning guidelines for their dismantling and material recovery at the end of life-cycle. At the same time, the average age of the current global installed base  for power transformers is at around 40 years. This scenario forecasts big waves of transformer decommissioning over the coming years and millions of tons of materials that would be highly needed to serve the growing needs for replacement and production of new units driven by the growth in energy demand and  electrification trends.

Waste management is a formidable challenge in enabling the circular transformation from a "take-make-dispose" linear economy. Inappropriate waste generation has negative environmental, social, and economic impacts in terms of damage to biodiversity, pollution, and human health problems. Sustainable and circular waste management practices must be implemented to reduce these adverse effects.

Given these challenge, we seek solutions to inform our stakeholders about their transformers   material composition for maximizing their re-cycling/re-purposing, and minimizing the need for disposing waste to landfills.

We are looking for circular solutions for the end-of-life stage of transformers, in line with Hitachi Energy’s commitments to “a zero waste to landfill” targets:

• Enable business models that connect stakeholders across the value chain for sustainable management of products (specifically with regards to legacy liabilities) at the end-of-life  (e.g. waste management companies, recyclers and reuse organizations with equipment OEM -Original Equipment Manufacturer). Such business solutions must consider Extended Producer Responsibility schemes that minimize final disposal following the transformers’ end-of-life.
•  Support the efficient separation of parts and materials as well as their recycling and repurposing by eliminating waste to landfill. For example, epoxy encapsulated parts and components, which are currently limiting the recoverability of materials at the required quality and purity levels.  
• Enable rapid identification of material composition in installed base of transformers including extent of valuable materials (with level of purity and potential to extract) and hazardous waste to inform the different actors at the end-of-life stages.

If you already envision new ideas to address this challenge, you are in the right place! Your expertise and creativity will be highly recognized as we invite you to partner with us in this inspiring mission. Fill in your application and wait for our feedback. Good luck to all participants!