Substations are either transmission or distribution substations. Transmission substations step up the voltage to enter the grid, while distribution substations lower the voltage for consumer use. Prefabricated substations function as distribution substations but can also set up voltages when needed.
There are three main components within a substation– switchgear for higher voltages, distribution systems for lower voltages and transformers. Transformers receive energy at one voltage and then step the voltage up or down before distributing it. High-voltage switchgear manages higher voltages while a distribution system manages the distribution of lower voltages.