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5 Common Electrical Enclosure Mistakes That Could Cost You Thousands

Electrical enclosures, including LOA (Listed, Labeled, or Approved) voltage panels, are critical for protecting electrical components from environmental hazards and ensuring safe operation. However, mistakes in their selection, installation, or maintenance can lead to equipment failure, safety hazards, and costly repairs. In this article, we’ll explore five common electrical enclosure mistakes that could end up costing you thousands—and how to avoid them.


1. Choosing the Wrong Enclosure Material

rusted panel
The Mistake:

Selecting an enclosure that isn’t rated for its environment (e.g., using a NEMA 1 indoor enclosure in a corrosive or wet location).

The Cost:

Premature corrosion, short circuits, or electrical fires can lead to expensive replacements and downtime.

The Fix:
  • Indoor use: NEMA 1 (general purpose) or NEMA 12 (dust-tight)
  • Outdoor/wet locations: NEMA 3R (rainproof) or NEMA 4 (watertight)
  • Corrosive environments: Stainless steel or fiberglass (NEMA 4X)

2. Poor Ventilation & Heat Management

good ventilation
The Mistake:

Ignoring heat buildup inside the enclosure, leading to overheating of breakers, relays, and other components.

The Cost:

Reduced lifespan of electrical components, unexpected failures, and fire risks.

The Fix:
  • Install ventilation fans or heat exchangers for active cooling.
  • Use thermally conductive enclosures in high-heat applications.
  • Follow NEC clearance requirements to ensure proper airflow.

3. Incorrect Grounding & Bonding

incorrect grounding
The Mistake:

Improper grounding can cause electrical noise, equipment damage, or even shock hazards.

The Cost:

Damaged sensitive electronics, failed inspections, and potential liability issues.

The Fix:
  • Use proper grounding lugs and follow NEC Article 250.
  • Ensure all metallic enclosures are bonded to the grounding system.
  • Test ground resistance regularly (ideally below 25 ohms).

4. Overcrowding Wires & Components

The Mistake:

Stuffing too many wires and devices into a small panel, violating NEC fill capacity rules.

The Cost:

Overheating, difficulty troubleshooting, and potential code violations leading to fines.

The Fix:
  • Follow NEC wire fill calculations (Article 312).
  • Use larger enclosures or additional panels if needed.
  • Organize wires with cable management systems to improve airflow.

5. Neglecting Regular Maintenance

regular maintenance
The Mistake:

Failing to inspect and maintain electrical enclosures, allowing dust, moisture, or loose connections to go unchecked.

The Cost:

Unplanned downtime, costly emergency repairs, and increased risk of Arc flash incidents.

The Fix:
  • Schedule routine inspections (at least annually).
  • Check for corrosion, loose terminals, and worn gaskets.
  • Keep enclosures clean and sealed against contaminants.

Final Thoughts

Avoiding these five common electrical enclosure mistakes can save you thousands in repairs, fines, and downtime. Whether you’re installing a new LOA voltage panel or maintaining an existing one, always:
✅ Choose the right NEMA-rated enclosure
✅ Manage heat & ventilation properly
✅ Ensure correct grounding & bonding
✅ Avoid overcrowding wires
✅ Perform regular maintenance

By following these best practices, you’ll enhance safety, compliance, and the longevity of your electrical systems.

Need help selecting the right enclosure? Contact our experts today for a consultation!


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