Is there a need to improve power factor in Australian homes? Will improving power factor in Australian homes help reduce energy costs for consumers?
At present the energy retailers charge domestic premises at a kWHr tariff which effectively means that there is no financial benefit to undetake power factor correction. In industrial and commercial applications power can be charged on a kVA or kVAr tariff and under these circumstances a correction of the power factor will make a difference to the energy bill. When energy is charged at kWH the power factor will make no difference to the energy bill.
Answered by: Ian Richardson, Product Manager - Line Protection, ABB Australia
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