Nagpur: The Director of MSEB Holding Company Vishwas Pathak on Thursday said that the corrections made by MERC in power factor levels will benefit industrial consumers as well as MSEDCL. Pathak was speaking to media persons at Mantralaya in Mumbai.
Power factor corrections can be extremely beneficial. Benefits include everything from reduced demand charges on industrial power system to increased load carrying capabilities in your existing circuits and overall reduced power system loses. Most industrial processing facilities use a large quantity of induction motors to drive their pumps, conveyors, and other machinery in the plant.
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These induction motors cause the power factor to be inherently low for most industrial facilities. Similarly, the MERC move will help improve the power factor through power factor correction. It will, therefore, lower the demand charge, helping to reduce electricity bill.
Many electric utility companies charge for maximum metered demand based on either the highest registered demand in kilowatts (KW meter), or a percentage of the highest registered demand in KVA (KVA meter), whichever is greater. If the power factor is low, the percentage of the measured KVA will be significantly greater than the KW demand.
Improving the power factor through power factor correction will therefore lower the demand charge, helping to reduce your electricity bill. It will also ensure increased load carrying capabilities in existing circuits, improved voltage, and reduced power system losses.
