Understanding Power Factor and Utility Penalties

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Discussion Overview

The discussion focuses on the reasons utilities impose penalties for low power factor in electrical systems, exploring the implications of reactive power and its effects on the distribution network. The scope includes technical explanations and conceptual clarifications related to power factor in electrical engineering.

Discussion Character

  • Technical explanation
  • Conceptual clarification
  • Debate/contested

Main Points Raised

  • Some participants argue that a purely reactive load does not return all its power to the grid, as reactive power does not perform work due to the phase difference between voltage and current.
  • Others explain that low power factor loads draw more current than high power factor loads for the same useful power, leading to increased energy losses in the distribution system.
  • It is noted that the increased current from low power factor conditions results in undesirable joule heating losses and voltage drops in conductors and components, which are not recoverable.
  • Some participants mention that utilities charge higher costs to customers with low power factor due to the need for larger equipment to handle the increased current and losses.
  • One participant suggests that utilities may compensate for capacitive power factor improvements, such as using synchronous capacitors.

Areas of Agreement / Disagreement

Participants generally agree on the negative impacts of low power factor on the electrical distribution system, but there are varying perspectives on the specifics of how utilities handle penalties and the implications of reactive power.

Contextual Notes

Some assumptions about the definitions of power factor and reactive power may not be explicitly stated, and the discussion does not resolve the complexities of how utilities calculate penalties or the economic implications for customers.

Who May Find This Useful

Readers interested in electrical engineering, power systems, and utility management may find this discussion relevant.

XPTPCREWX
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Why is it that the utility will penalize a customer for a low power factor.

I can't imagine why they would penalize you if a purely reactive load puts all its power back into the mains.
 
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Because it doesn't put all its power back into the grid. Reactive power has no capacity to do work because the voltage and current are out of phase with each other. So essentially, when you take reactive power, you are taking generator capacity (apparent power) that isn't showing up on your meter (real power).
In an electric power system, a load with low power factor draws more current than a load with a high power factor for the same amount of useful power transferred. The higher currents increase the energy lost in the distribution system, and require larger wires and other equipment. Because of the costs of larger equipment and wasted energy, electrical utilities will usually charge a higher cost to industrial or commercial customers where there is a low power factor.
http://en.wikipedia.org/wiki/Power_factor
 
A purely reactive load still draws current and gives rise to undesirable joule heating losses and voltage drops in the power distribution network conductors and components (such as transformer windings). That loss is not recoverable. Allowing very low power factor conditions to prevail could require the system to have much bigger conductor sizes to reduce the losses and voltage drop - thereby increasing the capital cost.
 
XPTPCREWX said:
Why is it that the utility will penalize a customer for a low power factor. I can't imagine why they would penalize you if a purely reactive load puts all its power back into the mains.
You are correct. A low power factor puts more current in the lines. The utility charges you only for real power, not the reactive part. The extra current in their lines just loads them down with extra I2R losses, which you do not pay for. On the other hand, they may pay YOU for some capacitive power factor. You could put a synchronous capacitor on line (a salient pole synchronous motor w/o load).
 
Because power is wasted in the wires carrying current to the load. Do a search on this. It has been covered here on PF numerous times.

Edit: WOW. Three posts within minutes of each other.
 
had a feeling that, that was the reason, but wasn't sure...thanx
 

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