What is reactive power? How to avoid the penalty fee on your electricity bill
Motors, transformers, and frequency converters create reactive power that grid companies charge for. Many industries pay unnecessarily – here's how to know if this applies to your company.
What reactive power is, in short
Active power is the electricity that performs work. Reactive power is the part that "just circulates" between the source and the load – but the grid still needs to be dimensioned for it. When the power factor (cos φ) falls below 0.95, the grid company levies a separate fee.
Signs that you are paying too much
- There is an item called "reaktiv effekt" or "kVAr" on your grid invoice
- Cos φ is below 0.90 in your meter readings
- Frequency converters have been installed after the original power factor correction (PFC) equipment was built
- The PFC equipment is older than 10 years and has never been checked
- Larger motors have been replaced or several machines have been added
What you can do first yourself
- Ask the grid company to report the threshold value and actual cos φ for the past year.
- Ask an electrician to document the nominal power and age of the PFC equipment.
- Calculate the potential: the fee per kVAr × annual consumption provides the order of magnitude for the savings.
Would you like a personal review?
This guide provides free knowledge from Savera and is intended to give you concrete things to check on your own. We are an independent advisor in business electricity – if you would like us to look specifically at your contracts, invoices, or consumption, you are welcome to book a free initial consultation.
Tip: Reactive power fees are often one of the cheapest items to remedy – the payback period is almost always less than 24 months.