Get in Touch

Jargon Buster: Power factor correction

So what exactly is power factor?

Simply put: it’s all about efficiency. Technically, power factor is the ratio of the true power (kW) that is used to do work in electrical equipment and the apparent power (kVA) that is supplied to the circuit.

If you’re scratching your head right now, all this means is that the power that goes in one end doesn’t necessarily match the power that comes out the other. So power factor is a measure of how efficiently electrical power is being converted into useful output.

Power factor is presented in a value that ranges from 0 (bad power factor) to 1 (good power factor). In the real world of industry and commerce, you’re not going to get a power factor of 1 because equipment such as electric motors, welding sets, and fluorescent and high bay lighting create something called an “inductive load”, which in turn causes the amps in the supply to lag the volts. The resulting lag is power factor.

So why does it need to be corrected?

With energy prices seeming to go up at each bill, we all want to make the most of the power we’re paying for. So the most common reason to install power factor correction is to maximise the electrical supply into your building. By using power factor correction equipment, you will be able to run more machines and do more work on the same amount of electrical supply.

The bad news is that power factor correction equipment reduces kVA not kW and the majority of your electrical bill is based on the kW you use. However, you may save on any reactive charges on your electricity bill from your supplier, as some suppliers will charge you for having a poor power factor. You may also be able to reduce your ‘authorised supply capacity’: this is the agreed maximum power you are allowed to use at any time.

The other benefit is that you’ll improve your equipment service life, since the amount of heat generated within cables, switchgear, transformers and other equipment is reduced at an improved power factor.

How is a poor power factor corrected?

Installing a capacitive load (capacitor) into the circuit cancels out the effects of the inductive load and therefore improves the power factor. This process is known as power factor correction.
Power factor correction capacitors are sold in kVAR ratings, usually in a trio of three capacitors, which may or may not be packaged in a single enclosure. The equipment needs to be sized and specified correctly as the installation of the wrong power factor correction equipment can cause more harm than good – one of the many reasons you need to hire the right electrical company for the job.

Capacitor boxes often contain some surge suppression circuitry. This is important as although experts widely agree that surge suppression saves virtually no energy, it may be highly beneficial in protecting valuable equipment if there are any serious voltage spikes on the circuit.

Things to consider

Two things to bear in mind…
1. If you are looking to have power factor correction equipment fitted it needs to be the correct type for your installation, otherwise the existing equipment on your site may interact with standard power factor correction equipment and give you grief.
2. Remember that power factor correction equipment needs to be serviced to maintain optimum performance; it is recommended this is carried out every 12 months.

Any questions, give us a call on 01924 283737 and one of our trained staff will be happy to help.

image description

Variable Speed Drives: Boosting Efficiency Without Sacrificing Performance

Energy reduction remains a major priority for UK manufacturers. Rising operating costs, pressure to reduce carbon emissions and the need to maintain competitiveness have all pushed factories to look more closely at how energy is being used across their sites. In many manufacturing environments, one of the best places to start is with motors. Motors […]

Read more
image description

Electrical Documentation and Labelling for Safety and Traceability

In a busy manufacturing environment, electrical systems are often changed, extended and adapted over many years. New machines get installed, control panels get modified, production lines are relocated, additional lighting is added and distribution boards get upgraded. Over time, what began as a well-documented installation can become difficult to follow if records are not updated […]

Read more
image description

What a Factory Acceptance Test (FAT) Should Include and Why It Matters

Installing new machinery, production equipment or automated systems into a factory is rarely a small decision. For most manufacturers, it involves significant capital investment, careful planning, disruption to normal operations and a clear expectation that the new equipment will improve output, efficiency, quality or safety. That is why a Factory Acceptance Test, often shortened to […]

Read more
image description

Retrofitting Automation into Older Factories: Where to Begin

As UK manufacturers adapt to the changing demands of production, factory automation is becoming essential, not just for new high-tech facilities, but for older, established sites too. Many mid-sized and large manufacturers operating in legacy buildings are turning to automation to increase productivity, lower costs, and deal with staffing challenges. However, adding automation to an […]

Read more
image description

Battery Energy Storage Systems: Why Safety Planning Matters More Than Ever

Battery energy storage systems are becoming an increasingly visible part of the UK energy landscape. Once seen mainly as large-scale infrastructure supporting renewable generation and grid balancing, they are now moving into the conversation for industrial and commercial sites too. As more businesses explore onsite generation, peak load management, resilience planning and wider decarbonisation strategies, […]

Read more
image description

UK Manufacturing in 2026: Trends Shaping Your Electrical Infrastructure

Introduction: As manufacturers gear up for 2026, the industry faces a wave of change. In our latest white paper, “UK Manufacturing Trends 2026: What They Mean for Your Electrical Infrastructure,” we explore the top trends set to reshape factories across the country. From the rise of smart automation to the pursuit of net-zero, these developments […]

Read more