This work demonstrates a quasi‐distributed sensing method to obtain the accurate location and temperature value of hot‐spot by placing Fiber Bragg Grating sensors in the conductor wires of transformer's windings. The quasi‐distributed temperature measuring system can support the demodulation of up to 218 FBGs, and has the ability to obtain the temperature decay rates of windings, strips, iron cores, and top oil in a 35 kV/4000 kVA oil immersed power transformer through a temperature‐rise test. © 2016 Wiley Periodicals, Inc. Microwave Opt Technol Lett 59:472–475, 2017