Why is grounding crucial in hazardous locations?

Grounding is crucial in hazardous locations primarily because it prevents static discharge that could ignite flammable materials. In environments where combustible gases, vapors, or dust are present, even a small static spark can have catastrophic consequences. Grounding provides a safe path for electrical fault currents and helps dissipate any accumulated static electricity, thereby reducing the risk of ignition.

While grounding does play a role in protecting against electrical shocks and improving safety, its primary function in hazardous locations is focused on preventing ignitions caused by static electricity. In addition, grounding does not directly contribute to signal transmission or save energy costs, making these options less relevant in the context of hazardous locations.