We are considering installing pfc equipment in our factory.

We are on a 11,000 volt ring main along with 2 other neighbouring companies. (Several years ago our factory was part of a large group occupying this site, our neighbours were once part of this group but have now been sold off). We have our own transformer, LV switches and distribution system. We are billed for our power from a neighbouring company - they read the meter monthly 'downstream' of our transformer and charge us accordingly.

We are advised that if we install pfc we will only see a small proportion of the savings. The capacitors would be installed on the LV side of the power network, but could someone explain why we won't achieve all of the savings?

Thanks in advance!

Hi

If you are paying for KW only, you wil get little or no savings.
Power factor correction does not alter the KW drawn by the motor. It will reduce the reactive current drawn from the supply and this will only affect you KWHrs if you have significant line losses between the metering and where the correction is connected. If you are paying a PF penalty, or a KVA demand charge, then you wil achieve a saving, otherwise I would not expect a worthwhile payback.

Best regards,