Meaning
Reactive power management involves the introduction of capacitive or inductive elements to align voltage and current waveforms. Implementing power factor compensation reduces the total current drawn from the utility by providing the necessary reactive power locally. This process improves the efficiency of the electrical system and frees up capacity in transformers and cables.
The boundary of this application is usually the point of common coupling with the utility.
Capacitor Selection
Static banks or automatic controllers provide the leading current required to offset inductive loads like motors. In a power factor compensation system the size of the capacitors must be matched to the average reactive demand of the facility. Oversizing these units can lead to leading power factor conditions that cause voltage instability.
Resonant Risk
Harmonic currents from variable frequency drives can interact with compensation capacitors to create high voltages. Before installing power factor compensation an engineer must perform a study to ensure the system does not resonate at a harmonic frequency. Adding detuning reactors to the capacitor bank prevents these destructive oscillations.
Tariff Reduction
Utilities often charge penalties to industrial customers who draw excessive reactive power from the grid. Proper power factor compensation eliminates these surcharges and provides a rapid return on the investment in equipment. Lowering the kva demand allows the facility to add more production equipment without upgrading the main service entrance.