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At distinct buildings or structures, a connection to ground via a grounding separately derived system is typically necessary to establish a reference to ground there.
The majority of transformers, together with any generator or UPS supplying a transfer power that opens the neutral conductor, are considered separately derived systems (SDSs). What qualifies as "separate derived" in a system? Where there is no direct electrical connection between the two systems, it is derived from a source other than a service [Art. 100].
This lack of a direct link prompts some intriguing concerns about power quality and safety. That separately derived system will unavoidably be operating at a different voltage (potential) than other systems. What happens, for instance, when a power load is transferred from the utility and the metal components of the electrical equipment are connected to the utility neutral but not the generator neutral? Such inquiries are addressed in 250.30 of the NEC, which includes the SDS specifications.
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