Oil-Immersed vs. Dry-Type Grounding Transformers: When to Choose Which?

Compare oil-immersed and dry-type grounding transformers—working principle, pros and cons, key parameters, and application-based selection for medium-voltage distribution systems.

Vziman
Field: Manufacturing
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What Is a Grounding Transformer?

A grounding transformer creates an artificial neutral point for three-phase systems that have no accessible neutral, such as delta-connected or ungrounded wye-connected networks at 6 kV, 10 kV, 12.47 kV, 13.8 kV, 24 kV, 33 kV or 35 kV.
It is most commonly built with a zigzag connection, because each phase winding is split into two halves wound on different core limbs.
Under normal conditions, the transformer draws only a small magnetizing current. During a single-phase earth fault, however, the zigzag structure offers low zero-sequence impedance, allowing zero-sequence current to flow through the neutral point and enabling the arc-suppression coil, neutral earthing resistor, or protection relay to operate correctly.
Grounding transformers are typically rated for long-time no-load operation and short-time fault duty, such as 10 s, 30 s or 60 s.
Zigzag grounding transformer core structure and wiring diagram

Oil-Immersed vs. Dry-Type Grounding Transformers

Comparison item Oil-immersed grounding transformer Dry-type grounding transformer
Insulation & cooling Transformer oil provides insulation and oil circulation cooling Air cooling with epoxy resin, VPI insulation or Nomex-based insulation
Fire safety Oil is combustible; leakage and fire risk must be managed Non-oil, low fire risk; suitable for indoor and personnel-dense areas
Overload capability Strong short-time overload and thermal stability Limited by winding temperature rise; often requires ventilation or forced air cooling
Environmental adaptability Good resistance to humidity, condensation and pollution; suitable for outdoor substations Sensitive to dust, condensation and salt mist unless specially treated; IP rating and environmental class must be checked
Typical capacity & voltage Suitable for larger ratings and higher system voltages, including 33 kV and 66 kV applications More common in small and medium ratings; typical products are available up to around 3150 kVA, with higher ratings depending on manufacturer and cooling method
Initial cost Generally lower for the same rating Generally higher due to solid insulation and manufacturing process
Maintenance Requires oil level check, oil testing, leakage inspection and periodic maintenance Basically maintenance-free; mainly visual inspection, temperature monitoring and cleaning
Installation Usually outdoor; may require an oil containment pit or bund Can be installed indoors, often close to switchgear or inside package substations
Typical applications Outdoor substations, PV/wind plants, industrial networks, 33/66 kV systems Indoor switchrooms, buildings, data centres, hospitals, tunnels, metro stations, chemical plants
 
 

Comparison between oil-immersed and dry-type grounding transformers

When to Choose an Oil-Immersed Grounding Transformer?

Choose oil-immersed when:

  • The installation is outdoor, such as a conventional substation, PV plant, wind farm or industrial switchyard.
  • The system voltage is relatively high, for example 33 kV or 66 kV.
  • The grounding transformer must carry a high short-time earth-fault current or operate under heavy ambient temperature.
  • The project is CAPEX-sensitive and has qualified maintenance personnel.
  • Long service life, high thermal inertia and proven outdoor reliability are prioritized.

When to Choose a Dry-Type Grounding Transformer?

Choose dry-type when:

  • The equipment is installed indoors, in a basement, building, tunnel, metro station, data centre, hospital or chemical plant.
  • Fire protection regulations restrict or prohibit oil-filled equipment.
  • Environmental requirements are strict, and oil leakage risk must be avoided.
  • The site has limited maintenance resources.
  • The rating is small or medium, typically for 6 kV, 10 kV, 12.47 kV, 13.8 kV or 35 kV distribution systems.
  • The dry-type unit is specified with an appropriate environmental class, such as C2 for low temperature, E2 for humidity/pollution, and F1/F0 for fire performance.
Note: Dry-type grounding transformers can be used in coastal or corrosive environments, but only when the insulation system, enclosure, creepage distance and anti-corrosion treatment are properly specified. They are not automatically superior to oil-immersed units in salt-mist areas.

Common Misunderstandings

  • “Dry-type is always more expensive.”
Not necessarily. Dry-type units usually have a higher purchase price, but they can reduce civil works, fire-protection costs, indoor space requirements and maintenance workload. For indoor projects, the total cost of ownership may be competitive.
  • “Oil-immersed transformers cannot be used indoors.”
They can, but additional fire protection, oil containment, ventilation and safety clearance are usually required. In many building projects, dry-type remains the simpler choice.
  • “Any transformer can be used as a grounding transformer.”
No. A standard distribution transformer does not provide the same low zero-sequence impedance as a zigzag grounding transformer. Using a normal transformer to connect an arc-suppression coil usually limits the usable capacity to about 20% of the transformer rating, whereas a zigzag grounding transformer can utilize 90%–100% of its capacity for earthing purposes.

Key Parameters to Specify

When preparing a datasheet or inquiry, these parameters should be clearly defined:
  • System voltage and highest voltage for equipment, for example 12 kV, 13.8 kV, 24 kV, 33 kV or 36 kV.
  • System frequency, 50 Hz or 60 Hz.
  • Connection type, typically ZNyn or ZN, depending on whether a secondary auxiliary winding is required.
  • Zero-sequence impedance, which shall be determined by system study, fault current limitation and neutral earthing coordination. Zigzag grounding transformers are designed for low zero-sequence impedance, but the exact value must be specified case by case.
  • Rated earth-fault current, for example 200 A, 400 A, 600 A or 1200 A.
  • Fault duration, such as 10 s, 30 s or 60 s.
  • Continuous kVA rating, if the grounding transformer also supplies a station auxiliary load.
  • Neutral earthing method, including arc-suppression coil, neutral earthing resistor, or direct/reactance earthing.
  • Insulation level / BIL, according to IEC, IEEE or local utility requirements.
  • System X/R ratio and short-circuit duty, to ensure correct thermal and dynamic withstand capability.
  • Altitude, especially for installations above 1000 m.
  • Harmonics or non-linear load conditions, if the grounding transformer also carries auxiliary load.
  • Enclosure IP rating and noise level, particularly for indoor installations.
  • Environmental class, especially for dry-type units: temperature class, humidity class, pollution class and IP rating.
  • Applicable standards, such as IEC 60076-6, IEC 60076-11, IEEE C57.32-2015 (inactive-reserved as of March 2026), IEEE C62.92, GB/T 1094.6 and GB/T 10228.

Oil-immersed zigzag grounding transformer real product photo

 Grounding Transformer supplier

Selection Rule of Thumb

  • Indoor, fire-restricted, low-maintenance, or environmentally sensitive sites → dry-type grounding transformer.
  • Outdoor, high-voltage, high-fault-current, heavy-duty or CAPEX-sensitive sites → oil-immersed grounding transformer.
The final decision should not be based only on purchase price. It should consider installation environment, fire code, zero-sequence impedance coordination, fault duration, maintenance capability and total cost of ownership.
Edited From:Echo
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