What is the purpose of oil in a transformer?

The purpose of oil in a transformer is multifaceted; it acts as an insulator to prevent electrical breakdown, facilitates heat dissipation to maintain optimal operating temperatures, and provides a medium for cooling, thus enhancing the efficiency and reliability of the transformer. Additionally, transformer oil helps in protecting the internal components from moisture and oxidation, contributing to the longevity and performance of the equipment. Proper maintenance and regeneration of transformer oil are essential to ensure it continues to serve these critical functions effectively.