To improve your power factor, consider installing power factor correction (PFC) equipment, such as capacitors, which can help reduce reactive power and increase the efficiency of your electrical system. Running motors close to their full load and utilizing variable frequency drives (VFDs) can enhance power factor by minimizing wasted energy. These are the most common and least expensive ways to improve the power factor on your service.
Power Factor
If a member's power factor drops below 90%, the demand on their bill will increase. This is achieved by multiplying the original demand by 90% and then dividing the result by the actual power factor.
Billed Demand = Demand Reading x (90% ÷ Actual Power Factor)
A low power factor indicates that a system is not utilizing the supplied electrical power efficiently. For KV REMC, this results in increased strain on equipment, higher energy losses, reduced system capacity, and higher electricity costs.
Low power factor occurs when electrical equipment, such as motors, transformers, and fluorescent lights, draws current that’s out of phase with the voltage. This reduces energy efficiency and can lead to higher utility costs. Other causes include harmonics, unbalanced loads, and systems running under light load.