AbstractPower systems grapple with the challenges of high load rates and intermittent new energy sources integration. Transformers, as vital equipment, employ oil/pressboard (oil/PB) insulation. Uneven moisture distribution in this insulation can jeopardise safety thresholds, necessitating precise moisture assessment for grid stability. A novel mathematical model, adsorption–desorption and porous media moisture transfer (ADP‐MoT), is presented. This model incorporates adsorption and desorption processes within the porous pressboard, enabling a description of the dynamic moisture transfer between the oil and pressboard. Using this mathematical model, simulations for moisture dynamics were performed on a 750‐kV transformer across four typical days. The results indicate that temperature fluctuations are the primary driving factor for moisture migration at the oil/PB interface. Convection and diffusion contribute to moisture movement towards cooler regions. Fluid properties and structural characteristics induce a distinctive streamline‐shaped moisture flow within horizontal oil channels, with localised moisture accumulation in specific areas. Moreover, the analysis of 96 transient results uncovers potential free‐state moisture formation during severe conditions, underscoring the importance of monitoring the pressboard at winding bases during high load fluctuations. In conclusion, this study significantly contributes to scientifically identifying and addressing risks tied to new energy sources integration in power systems.