When facilities managers and property owners examine their annual budgets, electrical maintenance often falls into the category of “predictable expenses.” However, what many fail to recognize is that inadequate maintenance isn’t just a cost-saving measure—it’s a costly gamble that can lead to catastrophic consequences for both operations and human safety.
Highlighting this critical issue, the National Fire Protection Association (NFPA) recently upgraded its preventive maintenance guidelines from recommendations to mandatory requirements. The updated NFPA 70B standard outlines a comprehensive roadmap for facilities to effectively safeguard both equipment and workers.
The Real Price of Deferred Maintenance
Recent data from the NFPA reveals a stark reality: Between 2017 and 2021, fires in industrial and manufacturing properties caused an average of $1.5 billion in direct property damage annually. Even more concerning, electrical distribution and lighting equipment ranks as one of the leading causes of these incidents. These aren’t just statistics—they represent preventable losses that often stem from inadequate maintenance.
Beyond the Visible Costs
While the direct costs of equipment failure are significant, the hidden expenses can be even more devastating:
Operational Downtime: When electrical systems fail, production stops. According to the NFPA, fires originating in processing or manufacturing areas—though only accounting for 4% of total fires—were responsible for 14% of total damage costs. This disproportionate impact highlights how electrical failures in critical areas can cascade into major operational disruptions.
Insurance Implications: With NFPA 70B’s elevation to a standard, insurance providers are paying closer attention to maintenance practices. Inadequate maintenance programs could lead to increased premiums or, worse, denied claims if proper maintenance protocols weren’t followed.
Regulatory Consequences: OSHA can now cite facilities for inadequate electrical maintenance using NFPA 70B as a reference standard. The cost of non-compliance extends beyond fines to include mandatory upgrades and increased regulatory scrutiny.
Reputation Damage: In today’s interconnected world, a major electrical incident can damage your facility’s reputation, affecting relationships with clients, partners, and the community.
The Preventive Advantage
The new NFPA 70B standard introduces a structured approach to electrical maintenance that can significantly reduce these risks. The standard outlines three key maintenance strategies:
- Predetermined Maintenance: Calendar-based preventive measures that allow for planned downtime.
- Condition-Based Maintenance: Active monitoring of equipment conditions.
- Predictive Maintenance: Advanced analysis of developing faults based on historical data.
This comprehensive approach helps facilities move from reactive to proactive maintenance, potentially saving millions in prevented failures and avoiding downtime.
Real-World Impact
Let’s say a manufacturing facility decides to defer electrical maintenance to reduce costs. Months later, an electrical failure in its main distribution system causes 48 hours of complete production shutdown, emergency repair costs at premium rates, lost inventory due to process interruption, and missed delivery deadlines and contract penalties.
The cost of proper maintenance would have been a fraction of these combined losses.
The Investment Perspective
When viewed through an investment lens, electrical maintenance offers compelling returns. Facilities managers can reduce their emergency repair costs, extend their equipment’s life, and lower insurance premiums. They can also look forward to improved energy efficiency, enhanced safety for their employees, and minimized production interruptions.
Implementation: A Strategic Approach
NFPA 70B provides a clear roadmap for implementing an effective Electrical Maintenance Program (EMP):
- Assessment: Conduct a comprehensive evaluation of your electrical infrastructure.
- Planning: Develop maintenance schedules based on equipment criticality.
- Documentation: Maintain detailed records of all maintenance activities.
- Training: Ensure maintenance personnel are properly qualified and trained.
- Continuous Improvement: Regular program review and updates.
The Path Forward
As facilities become more technologically advanced and electrically dependent, the importance of proper maintenance only increases. The recent elevation of NFPA 70B from a recommended practice to a standard reflects this reality. It’s no longer about whether to implement a comprehensive maintenance program—it’s about how to do it most effectively.
The choice between proper electrical maintenance and deferred maintenance isn’t really a choice at all—it’s an investment in your facility’s future. The real question isn’t whether you can afford to implement a comprehensive maintenance program but whether you can afford not to implement one.
My message to facilities managers and property owners is proactive electrical maintenance isn’t just about compliance or safety—it’s about protecting your bottom line. The cost of proper maintenance is an investment that pays dividends in reliability, safety, and operational efficiency. In today’s competitive environment, can you afford to gamble with anything less?
The path to implementation may seem daunting, but you don’t have to walk it alone. Working with qualified electrical contractors who understand both the technical requirements and practical implementation of NFPA 70B can help ensure your facility stays safe, compliant, and operational for years to come.
Elbert Walters III is the executive director of Powering Chicago, the labor management partnership between the International Brotherhood of Electrical Workers (IBEW) Local 134 and the Electrical Contractors’ Association of Chicago and Cook County (ECA).