There is a well established, well regarded alarm company in my area that has always installed residential alarm panels in closets. The plug in transformer has also been typically located in the closet by the alarm panel. Its a 12 volt tranformer and obviously a 12 volt system.
We have a new inspector that is red tagging their installations now. His argument at first was that the transformer can cause combustion due to heat and therefore should not be in a closet. Then his argument switched to working clearance issues.
I could not find any working clearance issues since the system is under 30 volts and could not find any language from preventing a transformer form being located in a closet.
Does anyone see any reason why this type of installation would violate the NEC or the Fire Alarm code?