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Power factor is the ratio of real power (kW) to apparent power (KVA). This is a measure of how efficient the electric system operates. Lower power factors indicate less efficient operations.
OPPD’s power factor correction is based on an overall 85% power factor. Customers with less than 85% power factor pay additional charges for OPPD to maintain the electrical system.
When a customer’s metered power factor falls below 85%, the metered kW is increased for billing purposes. The kW is increased by ½ of the difference between the metered power factor and 85%. This is called the power factor corrected demand. The calculation of billing demands uses the power factor corrected demands.
Example:
Metered kW = 160
Metered KVA = 200
Power Factor = 80% (160 / 200)
Correction Percent = 2.5% (85% - 80% / 2)
Power Factor Correction = 4 kW (160 * 2.5%)
Power Factor Corrected Demand = 164 kW (160 + 4)
All OPPD demand rates include this power factor correction.
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