“Long-range planning does not deal with future decisions, but with the future of present decisions.”

Peter Drucker, the management theorist who shaped how modern organizations think about planning

Ordering the electrical switchgear for an ordinary commercial building now takes about as long as designing the building itself. Electrical equipment lead times have stretched to the point where switchgear averaged forty-four weeks from order to delivery in the second quarter of 2025, and the larger transformers that feed a site averaged well over two years. These are not figures pulled from some specialized industrial market or from one congested metro area. They describe the ordinary conditions facing anyone putting a new electrical service on a new building right now, including churches, clinics, hotels, and franchise locations that would never think of themselves as competing with the technology industry for parts. The structure can go up fast. The power to run it is a separate problem with a separate clock, and that clock starts much earlier than most owners expect.

Why Electrical Equipment Lead Times Got This Long

The short explanation is that far more people want this equipment than the factories can produce, and the imbalance has been building for most of a decade. Demand for power transformers in the United States has risen 119 percent since 2019, and demand for the generator step-up units that connect large generation to the grid has grown 274 percent, according to analysis from Wood Mackenzie. Data center construction is the most visible driver, but it is not the only one. Manufacturing construction spending has climbed roughly 96 percent over three years, renewable projects are queued up waiting to interconnect, and roughly 55 percent of the distribution transformers currently in service are more than thirty-three years old and coming due for replacement whether or not anyone builds anything new. Every one of those demands lands on the same set of production lines.

What makes this difficult to plan around is that the shortage is not confined to one component. An owner who hears about transformer delays might reasonably assume the solution is to design a building that needs a smaller transformer, or to order that one item early and let everything else follow the normal schedule. The market does not cooperate that neatly. Switchgear, circuit breakers, reclosers, and even wire and cable have all tightened at the same time, because they are all competing for the same manufacturing slots, the same grain-oriented electrical steel, and the same copper.

From the research

“While transformers draw the most attention, the transformer shortage is really a transmission and distribution (T&D) equipment shortage.”

POWER Magazine, Transformers in 2026: Shortage, Scramble, or Self-Inflicted Crisis?

Price has moved along with availability, which matters for budgets set a year or more before the equipment is actually purchased. Circuit breakers have risen 47 percent since 2021 and medium-voltage switchgear roughly 50 percent over the same period. Tariffs on copper, steel, and aluminum have added pressure on both imported equipment and the domestic manufacturers who depend on foreign components. Manufacturers have responded with close to two billion dollars in announced North American capacity expansions, and several of those plants come online in 2027 and 2028. That is real relief, but it arrives later than most projects currently in design can afford to wait for.

44 weeks
The average lead time for electrical switchgear in the second quarter of 2025, according to Wood Mackenzie survey data reported by POWER. Over the same stretch, power transformers averaged 128 weeks and generator step-up units 144 weeks.

What a Long Lead Time Actually Does to a Schedule

Most owners picture a project as a sequence of blocks: design, then permitting, then bidding, then construction. Long-lead equipment breaks that mental model, because the order cannot be placed until the electrical design is developed far enough to specify the exact gear, and the gear will not arrive until roughly a year after the order goes out. If the switchgear order waits until the general contractor is under contract and has issued subcontracts, the delivery date may land well past the day the building is otherwise ready to be energized. The building sits finished and dark, which is the most expensive way a project can be late, because the money is spent and the doors still cannot open.

The building sits finished and dark, which is the most expensive way a project can be late, because the money is spent and the doors still cannot open.

There is a second, less obvious consequence. When a piece of equipment carries a year of lead time, the design decision that determines that equipment becomes effectively irreversible much earlier than the rest of the design. Once the service size is set and the gear is ordered, changing the building program in a way that increases electrical demand no longer costs a redesign, it costs a new delivery date. A congregation that decides eleven months into design to add a commercial kitchen, or a hotel owner who decides to add electric vehicle chargers to the parking lot, may be making a decision that reaches back and moves the opening date. That is a very different conversation than the one owners are used to having about scope changes.

The Utility Runs on Its Own Timeline

Alongside the equipment inside the building, there is the equipment outside it, and that side belongs to the local utility. A project that increases electrical demand beyond what the existing service can carry triggers a capacity study, possibly a line extension, and often a new utility-owned transformer, all of which move at the utility’s pace rather than the project’s. On many small and midsize commercial projects, this is quietly the longest single item on the schedule, and it is routinely discovered late because nothing in the permitting process forces the question early. We have seen owners submit a utility application only after the building permit was approved, which puts the two longest lead items in sequence instead of in parallel and adds months for no reason other than sequence.

Churches and nonprofits feel this more sharply than they expect to. A sanctuary addition, a family life center, or a gym with commercial kitchen and audio-visual loads can push an existing campus past the capacity of a service that was sized decades ago for a much smaller building. The congregation is thinking about square footage and seats. The determining constraint may be a pad-mount transformer with a delivery date the utility cannot promise. This is one more reason the electrical service question belongs in the same early conversation where the building program is defined and priced, rather than in the mechanical and electrical coordination that happens months later.

Designing With the Constraint in View

None of this is a reason to stop building, and it is not a problem that can be solved by pushing harder on a supplier. It is a design and sequencing problem, which means it can be addressed with the same discipline applied to structure, code, and budget. The first move is simply to identify the long-lead items during schematic design rather than during construction documents, and to build the schedule backward from the equipment delivery dates rather than forward from the groundbreaking. Once the critical path is drawn honestly, the decisions that follow become much clearer.

From there, several strategies genuinely help. Specifying more than one acceptable manufacturer for major gear widens the field of available factory slots instead of narrowing it to whoever is most backed up. Releasing an early equipment package, sometimes with the owner purchasing the gear directly, starts the clock while the rest of the documents are being finished. Right-sizing the electrical service to actual projected load, rather than adding a comfortable margin out of habit, can move a project from a scarce equipment class into a common one with a much shorter queue. And where a temporary service or a phased energization can get part of a building operating while the permanent gear is in transit, that option is worth pricing early rather than improvising later.

The load side of the equation deserves attention too, because it is now moving in one direction. As buildings shift away from gas toward heat pumps, induction kitchens, and electric water heating, the electrical service required grows accordingly, and a larger service means larger gear and a longer wait. That is not an argument against electrification, which brings real operating advantages. It is an argument for making the decision consciously and early, with the procurement consequences on the table, instead of discovering them after the mechanical system has already been selected.

What all of this comes down to is that electrical procurement has quietly become an architectural issue rather than a contractor’s problem, and it needs to be handled by someone who is thinking about the whole project rather than one trade package. When we set up a project, long-lead equipment goes on the critical path in the first weeks, the utility conversation starts before the permit application, and the electrical service is sized against a program we have actually tested rather than a rule of thumb. That kind of foresight comes from having walked hundreds of clients through the gap between a good design and a building that opens on time, and from a habit of bringing owners the constraint along with two or three ways around it. If you are early in planning a project and no one has yet told you when the electrical equipment has to be ordered, we would be glad to have that conversation with you.

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