What is power factor and why do we measure it?
Power factor is a number which ranges from 0 – 1 and is a representation of how efficiently a site uses power. 0.8 and above is considered to be a good power factor. 0.8 means you are consuming 80% of the electricity supplied to your site. The remaining 20% is used to sustain magnetic fields, for example, in induction motors and is not translated into mechanical torque. What does this mean? This means you pay for the electricity supplied to your site, not just the electricity you use to do useful work – like running a motor on a machine. Poor power factor is corrected with specialised equipment.
Problem: Customer paying unnecessary high demand charges.
Solution: Power changes reduced by installing Power Factor correction equipment.