College Station City Council Approves Purchasing Electric Transformers After Learning It Is A Seller’s Market

Screen shot from a city of College Station document.
Screen shot from a city of College Station document.

Before the start of 2024, the College Station city council approves the purchase of electric transformers that won’t arrive until 2025.

The approval came after electric department director Timothy Crabb shared that the demand for transformers has allowed manufacturers to add an “escalation charge”.

Crabb said the city just received transformers that were ordered in February 2022, and the city had to pay an escalation charge of 30.13 percent.

Without agreeing to the escalation charge, Crabb said manufacturers won’t process the city’s order.

College Station’s electric utility fund will pay for 54 transformers that at this time, without the escalation charge, will cost $504,000 dollars.

Click HERE to read and download presentation materials from the December 11, 2023 College Station city council meeting.

Click below to hear comments from Timothy Crabb during the December 11, 2023 College Station city council meeting.

 

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