Question

Briefly explain the economic justification for capacitors installation.

Answer 1

$<B> <I> Companies continue to explore ways to reduce costs - and one area that is drawing interest is power factor correction. But the question of whether improving power factor will translate directly to the bottom line is not easily answered. It requires a better understanding of power factor in general, as well as harmonics, a facilities electrical distribution system - and the billing practices of the electrical utility or energy provider. In addition to potentially saving money, there are other additional benefits to power factor correction - such as reduced carbon footprint.$