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sorry gentlemen for the title. The title of the querry should read "dry type transformer"

The error is regretted

Technically speaking both oil cooled and dry type transformers are acceptable. Oil filled transformers are located outdoor and contain mineral oil which is inflammable. Hence applicable regulations like provision of soak pit, catch pit etc. and water sprinkling system with high pressure water jets for large transformers need to be complied with.

Dry time transformers, on the contrary, don't have any fire hazard. They can be installed indoor. But adequate cooling arrangement needs to be provided. They are costlier as compared to the oil filled transformers. Considering safety of people in the residential and commercial complexes where poulation density is more, dry type transformer will be a better alternative.

Dry type lighting transformers are primarily provided to strengthen the voltage profile across lighting luminaires in an industrial set up mainly to cut down on maintenance costs of lighting systems arising out of lamp breakdowns due to voltage fluctuations. The fact that some people provide it while others don't is a matter of importance given to the problems of voltage fluctuations in any set up and their adverse effect on lighting systems. Some designers tackle it at source while others leave it to the end user to control it through voltage stabilizers.

Thanks sir. Good answer

if you are located in India, Indian Electricity Rules has a mention. Sometimes occupancy based guidelines also mention the requirements for example OISD states the requirements for transformers. Depends on where you are located and hence the difference in guidelines