Increased system capacity and reduced system losses in your electrical system By adding capacitors (KVAr generators) to the system, the power factor is improved and the KW capacity of the system is increased.Uncorrected power factor causes power system losses in your distribution system.By improving your power factor, these losses can be reduced.With the current rise in the cost of energy, increased facility efficiency is very desirable.And with lower system losses, you are also able to add additional load to your system.
Recall that inductive loads, which require reactive power, caused your low power factor. This increase in required reactive power (KVAR) causes an increase in required apparent power (KVA), which is what the utility is supplying.So, a facility’s low power factor causes the utility to have to increase its generation and transmission capacity in order to handle this extra demand.By raising your power factor, you use less KVAR. This results in less KW, which equates to a dollar savings from the utility
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