Explaining the Connection Between Power Factor Correction and IRS Section 179 If you’re a business owner or stakeholder to the financial health of a company looking to reduce energy costs and potentially maximize tax benefits, Power Factor Correction (PFC) might be a solution worth considering. There is much confusion and uncertainty when terms like Power […]
Power Factor Correction: Energy Savings and Tax Benefits
Yes, power factor correction (PFC) is considered a sustainability effort for a few reasons: Reduced Energy Consumption: While PFC doesn’t directly decrease total energy use (kWh), it improves the efficiency of the system, leading to lower overall energy losses. This translates to less energy being generated. Lower Grid Strain: By reducing reactive power draw and […]
What if we don’t do Power Factor Correction?
1 year ago
From the Mailbag: We have a PF of 0.76- what if we don’t do Power Factor Correction? A power factor of 0.76 means that only 76% of the delivered power by the electrical system is being used for real work, and the remaining 25% is reactive power. This reactive power is used by inductive loads […]
History of Power Factor Correction
1 year ago
A Historical Journey: Power Factor Correction Energy Efficiency Group, LLC | www.EnergyEfficiencyGrp.com One of the chief concerns we are confronted with early on is- “I’ve never heard of Power Factor Correction- is this something new?” In this article I hope to give a background look at the origins, improvements, and overall story of Power Factor […]
Guide to Power Factor Correction Assessment
1 year ago
Ever speculate that your company is paying more for electricity than it should? You might be right! A likely culprit behind an inflated energy bill may be a low power factor. Most don’t know, but there may be a tool at your disposal to do something about it called power factor correction (PFC). In this […]
Do your operations and accounting department ever receive the monthly energy statement and wonder why it is so high no matter what conservation efforts you put forth? It might have something to do with your power factor. Power factor correction can improve your building’s efficiency and bring a welcome change to your next bill. But, […]
Companies across the US are always looking for ways to reduce their financial footprint. However, with good financial governance, also comes the desire for sustainability by reducing their environmental footprint. Power Factor Correction (PFC) contributes to sustainability efforts in a couple of key ways: Reduced Energy Consumption: Power Factor Correction essentially minimizes energy waste within […]
What Are Causes of a Low Power Factor?
2 years ago
We’ve talked about Power Factor Correction for a few years now. We’ve also spent a great deal of time discussing a solution, but not enough about what may cause it in the first place. There are several factors that can contribute to a low power factor in an electrical system: Inductive Loads: A big culprit […]
We get asked all types of questions about Power Factor and Power Factor Correction that cover the spectrum of Who, Why, Where, When, etc. Another such question is: “What are the costs associated with a low Power Factor rating?” Most, not all, commercial electric statements include a Power Factor number measured by the utility. This […]
Another Question: “How Long Before We Can Expect to Generate an ROI from Power Factor Correction?”
2 years ago
Another common question we are asked regarding Power Factor Correction is “how long should our company expect before we see a return on our investment?” Power factor correction can be a good investment with a payback period typically ranging from 6 months to 3 years – based on utility prices the day of installation (* […]








