We’ve found that many people struggle to understand how Power Factor (PF) impacts demand charges. Frequently, end-use customers pay a significant premium each month in demand charges because their PF is below a threshold set by the utility in the rate tariff.
Power Factor and Demand Charge Penalties
We’ve found that many people struggle to understand how Power Factor (PF) impacts demand charges. Frequently, end-use customers pay a significant premium each month in demand charges because their PF is below a threshold set by the utility in the rate tariff.