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Historically, during the first decades of power generation, standby generator sets were used almost entirely for emergency lighting. As the capabilities of these standby generator sets increased, so also did the scope of the loads on standby power: in the 1970s and 1980s, the industry observed dramatic growth in motor and pump dominant applications: water treatment plants, lift stations, etc. This placed additional requirements on coordination of power transfer from utility and back to utility; simple double-throw contactors were no longer sufficient to reliably transfer these loads with high electromechanical inertia. A more complete analysis was required to avoid system derangement when transferring from one source to another, particularly when transferring from a standby source to a utility source.

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