Electrician Red Seal · Question
A capacitor bank is installed to improve the power factor of an industrial facility. What is the main benefit of improving power factor?
Improving power factor reduces the amount of reactive power drawn from the utility. This leads to lower utility bills (especially if power factor penalties are
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Question: A capacitor bank is installed to improve the power factor of an industrial facility. What is the main benefit of improving power factor?
Answer options:
- It increases the total power consumed by the facility.
- It reduces the actual kW demand from the utility. ✅ It reduces reactive power, thus lowering utility bills and improving system efficiency.
- It stabilizes the voltage by absorbing excess reactive power.
Correct answer: It reduces reactive power, thus lowering utility bills and improving system efficiency.
Explanation: Improving power factor reduces the amount of reactive power drawn from the utility. This leads to lower utility bills (especially if power factor penalties are applied), reduced current in feeders, and improved voltage regulation and system efficiency.
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