Why do loops that carry induced current form in substations?

Loops that carry induced current in substations are primarily formed due to the presence of inductance. When alternating current (AC) flows through equipment, it creates changing magnetic fields around the conductors. These magnetic fields have the ability to induce currents in nearby conductive materials, resulting in loops of induced current.

Inductance is a property of electrical circuits that determines the extent to which a changing magnetic field can induce an electromotive force (EMF) in a conductor, due to Faraday's law of electromagnetic induction. In substations, where various transformers, reactors, and conductors are present, the induced currents can form loops primarily because the changing magnetic fields from these components interact with nearby conductors, leading to the phenomenon of electromagnetic induction.

The other factors, while they can contribute to issues in substations, do not directly explain the formation of loops that carry induced current in the same way that inductance does. Insufficient grounding typically relates to safety and equipment performance rather than the electromagnetic phenomena causing induced currents, while electrical interference pertains more to noise and signal issues. Magnetic fields do play a role but are more a result of inductance rather than a separate cause for loop formation. Thus, inductance stands as the fundamental reason behind the creation of induced