A transformer is used to increase or reduce alternating voltages. An electromagnet is used to generate a magnetic field that changes in direction and strength. This generated magnetic field induces a new voltage in another coil. By using different coils (difference in the number of windings), a higher or lower voltage can be induced. Transformers are an important component in energy technology and are used in almost all electrical devices. Transformers are also used for voltage equalization within the various grid voltage levels or at the grid feed-in points of generation plants.