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A customer wants to use 750 kcmil Al with a P frame breaker. Can he use compacted Al cable to get 750 kcmil into 600 kcmil lugs.

No, this is not an acceptable practice. The compacted wire has not been tested with the lugs, and the wire range is outside the lug listing, so an inspector would be obligated to reject it.

CTA-ID : 2033787
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