It is the purpose of this research effort firstly to quantify the winding losses and stray losses to evaluate the corresponding temperature rise in transformers. This is accomplished using a 2-D FEM model adapted for winding loss calculation. A corrected hotspot factor that considers stray loss is proposed and verified by practical values. Thermal dynamic models are used and modified to consider a time varying distorted load cycle also. This temperature output is used, with an industry accepted insulation loss of life formula, to evaluate a transformer's per unit loss of life. The second major issue of Transformer is analysis of internal winding faults and condition monitoring methods. In this book a field based analytical method is developed to understand intensity of fault levels and from there an intelligent Neural Network based condition monitoring system has been modeled. Last but not least, in order to enhance the reliability of system, the transformer associated substationequipment like Cable and Bushings have been evaluated using Finite Element based Software and recommendations are given for design improvements for better performance.