CFC GPI Measures Distribution Equipment Cost Changes

The CFC Grid Price Index (GPI) is an index that measures the average change, since a 2019 baseline, in the wholesale prices supply cooperatives pay manufacturers for a fixed basket of electric distribution equipment. Developed and maintained by CFC and updated quarterly, it includes category-level subindices and serves as a benchmark for inflation or deflation in those prices.

As of 2Q 2026, costs are up about 100% since 2019. Download the CFC GPI 2Q 2026 slides for more details. CFC members can also access the full CFC GPI data series on the CFC Member Website.

CFC GPI: Measuring the Cost of Building the Distribution Grid

The CFC GPI is based on purchase costs reported by participating supply cooperatives at the first commercial transaction—when they buy equipment from manufacturers. It covers equipment prices only and excludes installation and labor, engineering and project services, and internal accounting adjustments.

Turning Equipment Prices into a Benchmark

For cooperatives, the CFC GPI offers a practical way to understand how distribution equipment costs are changing. Because the index is based on actual supply cooperative purchase transactions, it directly measures wholesale equipment price changes while keeping individual supply cooperative data confidential.

The index uses a fixed basket of equipment that reflects average purchasing patterns from 2023 to 2025. Each item's current price is compared with its average 2019 price. Quantities are held constant, so changes in the index reflect price changes rather than changes in what supply cooperatives buy.

The subindices for transformers, conductors and other distribution equipment show that prices for different types of equipment have changed at different rates. Quarterly updates let cooperatives track both longer-term changes since 2019 and more recent changes in equipment costs.