Power Factor Correction is a device that is normally installed on the electrical distribution system to improve machine efficiency.

By installing Power Factor Correction, you can save money. As EnergyAce explains, ‘A typical uncorrected electrical load will operate in the region of 0.80 power factor (80% efficient) and would consume 20% more power, it will also result in an increased demand by 20% resulting in higher energy bills.

Other electrical supplies operating on much lower uncorrected power factors could be consuming in excess of 50% more power and risk potential overload and loss of electrical supply through brownout.’

Here we take a look at how Power Factor Corrections work and we explain how you can get it.

Power Factor Correction explained

Power Factor Correction is a technique designed to increase the power factor of a power supply. The way the device works is that it shapes the input current to maximise the power of a machine. It switches capacitors in or out of circuit.

If switching power supplies are without Power Factor Correction, high-magnitude pulses are produced. They can be smoothed out by active or passive techniques.

As Sunpower explains, ‘The power factor correction shapes the input current in order to maximize the real power from the AC supply. Ideally, electrical equipment should present a load that emulates a pure resistor, meaning that the reactive power would be zero. And the current and voltage waveforms would be the same sine wave and in phase with one another. However, due to the reactive components in a majority of circuits, there is always a power lag that leads to lower power factors.

In an ideal system, all the power drawn from the AC mains is utilized in doing useful work. This is only possible when the current is in phase with the voltage. When the phase between the two varies, some of the energy from the AC outlet does not perform useful work and is lost.’

In simple terms that means that without Power Factor Correction, you might be paying for power that is being wasted.

Benefits of Power Factor Correction

There are numerous benefits of Power Factor Correction. Here are the main ones:

• You can reduce power consumption losses
• You can eliminate penalties on your electricity bill in the form of reactive power charges
• You can reduce capacity charges
• You can lower your carbon emissions
• You can improve power quality
• You can save money on your electricity bill
• You can reduce the installation size.

The argument that convinces most people to get Power Factor Correction is that thanks to it they can save money on their energy bill. It is possible because ‘power factor correction eliminates penalties on reactive energy, decreases demand on kVA, and reduces power losses generated in the transformers and conductors of the installation,’ Electrical Apprentice writes.

What are reactive power charges?

We mentioned that by installing Power Factor Correction you can eliminate reactive power charges. But what exactly are they? All energy providers and energy consumers are subject to them. These charges are applied by Distribution Network Operators (DNOs).

As Direct Power explains ‘Reactive power refers to the difference between the electricity supplied and the electricity converted into useful power (i.e. that which you are able to use). If a site has high Reactive Power i.e. if there is a large amount of power being wasted, more current needs to flow to provide the same output. This puts an additional strain on the distribution network, potentially increasing costs for the Distribution Network Operator. This charge is a contribution towards those costs as shown on your bills.’

Whether or not you will be charged reactive power charges depends on how the site uses electricity. To find out if you are paying for them, make sure to check your energy bills.

Power Factor Correction methods

There are two main types of Power Factor Correction for power supply:

Passive Power Factor Correction	It is used for small power supplies of a maximum of 100W. This method uses a low pass harmonic filter that is put at the AC input with the capacitor and inductor, which all together form a series resonance circuit. A big advantage of this method is that it is inexpensive and that components can be small. A disadvantage is that passive Power Factor Corrections can be heavy and bulky.
Active Power Factor Correction	It is used for power supplies of more than 100W. It is lighter and smaller than passive Power Factor Corrections. It ensures that the input voltage is 0.95 or over. The disadvantage of active Power Factor Correction is that it requires numerous components.

Power Factor Correction with Energy Marketing and Trading

Now that you know what Power Factor Correction is and what its benefits of it are, you should consider installing it, and Energy Solutions can help. We work closely with all clients to assess their individual needs and to understand their supply. We can help you determine whether you should get Passive Power Factor Correction or Active Power Factor Correction. Regardless of which type you choose, we will explain to you in detail how it works and we will guide you through the installation process.

We realise that understanding how Power Factor Correction works can be complicated at first. After all, not everyone is an energy expert. But, luckily we are and we can answer all your questions and clear any doubts you might have. If you need us to explain to you something about Power Factor Correction in simpler terms, we are happy to do that. We are committed to making sure that our clients know exactly what services they sign up for when they start working with us. Moreover, if you are still not convinced about the benefits of Power Factor Correction, we can tell you more because here we only scratched the surface of how useful it can be.