Reduce electricity costs and free up capacity

By E Solot, Alpha Power Solutions


Published in:

Electricity+Control, August 2013 (pages 30 - 36)



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Until fairly recently, the return on investment for power factor correction equipment, in commercial and industrial applications, was unacceptably long for most companies.
Avoidance of wasteful electricity demand and consumption was not given the attention it deserves and energy efficiency has only very recently become a strategic objective. The significant electricity tariff increases introduced in recent years, have made investments in power factor correction very attractive for most commercial and industrial consumers.


What is power factor?

Power factor (also referred to as cosine phi) is the ratio between the active load power (kW) and the apparent load power (kVA) drawn by an electrical installation. It is a measure of how effectively the current drawn by the load is being converted into useful work output.


Take note

  • Power factor correction has always been around – but do we really understand its value?
  • Payback time for power factor correction equipment is now quite short.
  • If you do not have power factor equipment in your system, now is the time to seriously consider it.