Question for any electrical engineers out there.

Are the meters on the side of buildings metering real power or apparent power?

Is power factor correction worth doing if the power company is not dinging the 
customer for low power factor?

This article 
http://powerelectronics.com/power_management/motor_power_management/705PET23.pdf
  talks about residential power factor correction and my conclusion (from this 
article) is the savings would never be recouped. 

Second conclusion is the only benefit with correction is the wires between the 
source and load don't heat up as much. What about the wires in the motor or 
transformer? do they also heat less? I would think so.

Third conclusion is by correcting power factor you are helping the utility 
company more than yourself because these phase differences "standing waves" 
exist all the way back to the power generation source therefore the utility 
lines have more loss due to their greater length than the customers building 
wiring has.

The reason I am researching this is a customer of mine has roughly 50 hp of 
total motors in his shop and wanted to know if he could save 30% on his 
electric bill like some salesman of power factor correction black boxes told 
him he could.

I realize I am going to have to look at his energy bill to see if there is a 
charge for low power factor and maybe call the utility company to see if he 
will get a lower rate if he adds PFC devices


tom



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