rustystud
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What do you mean "the right way " ? My system passes the "NEC" electrical code here, otherwise I would not have passed inspection ! As far as enclosed arc protected switches go, they are more for protecting delicate electronics then safety. This switch for $200.00 is not arc protected, it is just "automatic" not manually switched. You guys that are concerned about the arc protected switches need to buy the currentIf I was looking for a transfer switch I'd buy that for 200 dollars in a heart beat. Nothing beats the correct way to do the job. I have the full GE zenith control panel at my shop, as well as at my mom's house. But they are approx $1800 or so at my cost.
You may be ok at low amps and a knife switch, but I cringe thinking about that. I've seen enough arc flash damage and explosions in my line of work. It is relatively low voltage, and low load.. but I would never ever transfer a knife switch into load myself. I suppose going into the load would not be as bad as breaking the load, but still not a fan.
"NEC" handbook and see for yourselfs what the codes really are. NEC stands for "National Electrical Code" .