Abszrucf-The use of adjustable speed drives requires transformers capable of withstanding high levels of harmonic currents under normal operating conditions. Experience has been that overheating problems are much more common with dry type transformers than with liquid filled transformers. Transformer insulation life is determined by the hot spot temperature but confirmation of hot spot temperature rise is one performance characteristic which is ignored in industry standards. This is especially important for transformers rated for non-sinusoidal load currents. Hot spot allowances used in IEEE standards for ventilated dry type transformers were developed in 1944 and recent data indicates that revisions are required. The design of transformers for non-sinusoidal load currents should include an analysis of the eddy loss distribution in the windings and calculation of the hot spot temperature rise. Calculations and thermal tests giving only average winding temperature rises are not sufficient. Thermal tests with non-sinusoidal currents and measurements of hot spot temperature rises are extremely difficult on large transformers. The combination of testing and analysis may be the only economically practical approach. Analysis indicates that the dry type transformer hot spot temperature is very sensitive to the eddy loss magnitude and distribution. The UL K-factor rated dry type transformer and the recommended practices given in ANSIlIEEE C57.110 are reviewed. When purchasing transformers subject to non-sinusoidal load currents, considerations should be given to the manufacturer's development program and capability to calculate the eddy loss distribution and hot spot temperatures. 0-7803-2456-0195 $4.00 0 1995 IEEE-IAS