The rational use of electrical energy calls for economical generation, transmission and distribution with little losses. That means restricting all factors in electrical networks that cause losses. One of these factors is lagging reactive power.

The purpose of systems for power factor correction in networks is to compensate the generated lagging reactive power by leading reactive power at defined nodes. This also serves to avoid impermissibly high voltage drops and additional ohmic losses. The necessary leading power is produced by capacitors parallel to the supply network, as close as possible to the inductive load.

Capacitive compensation devices reduce the lagging reactive power component transmitted over the network (fig. 1). If grid conditions change, the required leading reactive power can be matched in steps by adding or taking out single steps to compensate the lagging reactive power.

Benefits of Power Factor Correction

• Power factor correction reduces the reactive powerand kVA demand
• Effective use of installation
• Fast return on investment through lower power costs and avoiding penalties from the utility ($)