Power factor analysis, capacitor bank sizing, resonance screening, and utility penalty elimination for industrial and commercial facilities.

What power factor triggers a utility penalty?

Most Canadian utilities penalize below 0.90 PF (some use 0.85). The penalty is typically charged on the kVAR demanded above the threshold, or as a percentage surcharge on the demand charge. Ontario LDCs and Hydro One each have specific tariff structures.

Key Deliverables

• 12-month power factor analysis from utility billing data
• kVAR calculation and capacitor bank sizing
• Harmonic resonance frequency screening (IEEE 18/519)
• Capacitor bank specification and protection scheme
• Single-line diagram with PF correction equipment

What is harmonic resonance and why does it matter?

When a capacitor bank is added to a system with harmonic-producing loads (VFDs, UPS, rectifiers), the capacitor and system inductance can create a resonant circuit at a harmonic frequency. If this resonance coincides with a dominant harmonic (5th at 300 Hz is most common), it amplifies that harmonic, potentially damaging equipment. We always screen for this.