Power Factor Correction

An Opportunity to Reduce your Customers Electric Bill and Carbon Footprint

Recent Changes to the Electric Tariffs

Utility Letter to Customers:
Reactive power chargesshouldbe a component of the rate structure for the large customer classes. All customers will benefitthrough active participation by large customers who choose to reduce their reactive power usageby installing on-site equipment to improve their power factors.

Public Service Commission recent order:

Customers with poor power factors take up capacity on our lines. To compensate for this losswe mustincrease the size of our facilities Recently the NYS Public Service Commission directed us to revise the power factor threshold from 90% to 95%...to reduce the lost energy on oursystem

Utility Letter to Customers: Customer Conversation:

The utility was charging us $300 per month. They are now going to be charging us 10 times that amount. To encourage businesses to reduce their use of reactive power, we will be introducing a new reactive power charge. Large commercial customers will be charged when their power factor, or efficiency, is less than 95 percent.

PF Correction and Harmonics

Agenda
Where are capacitors needed? What is power factor? The benefits of capacitors How to size capacitors Where to place capacitors Capacitor equipment options An introduction to harmonics Product offerings Product features and benefits

Capacitor Opportunities

Where Office Buildings Mfg Plants Apartments/Condos Shopping Centers Schools, Hotels

What Users of Electricity New Installations Upgrades

Why Improve Power Factor Plant Expansion Voltage Problems Specd by Engineer Consultant

Capacitors
Who Saw Mills Hospitals Motor Suppliers Panel Shops Processing Steel Mills

When New Installation Upgrading Facilities Poor Power Factor Plant Expansion

If they have motors they need capacitors

What is Power Factor?

kVA
Working Power (kW) It does the "work for the system Provides the motion or heat. Reactive Power (kVAR) Sustains the electromagnetic field Doesn't do useful "work." Apparent Power (kVA) Working Power and Reactive Power together kVAR
Utility supplied

kW

kW kVA 800 kW 1000 kVA

= Power Factor

= 0.8 or 80% Power Factor

Adding Capacitors Reduces Your Power Bill

Utility charges $1.10/KVAR Demand in excess of 1/3 of KW Demand
Excess KVAR = 1200-1500/3 = 700 KVAR

1921 kVA0
1200 kVAR0
Utility supplied

1921 kVA0
1581 kVA1

700 kVAR1
Customer supplied

500 kVAR0
Utility supplied

1500 kW pf = 1500/1921 = 78%

1500 kW pf = 1500/1581 = 95%

Adding 700 KVAR would save over $9000 per year resulting in a payback of as little as 2 years

Ways Utilities Charge for Poor Power Factor

Kvar Demand Charge KW Demand Charge
Must include a target power factor and adjust the KW demand for actual power factor

KVA Demand Charge

Anytime you are billed for KVA you are paying a power factor charge Power factor charges vary by utility You must look at the Utility Bill

Capacitors Increase System Capacity

100 A

Total KVA
60 A
80 A

60 A

Reactive Power Active Power Increased Capacity 80 A 60 A

M M

80 A
M M

Capacitor

100 Amps line current needed

80 Amps line current needed

20 Amps line current available for additional loads

Capacitors Reduce Line Losses

% Loss Reduction

= 100-100(Original pf/Corrected pf)2 = 100 - 100(75/95)2 = 38%

38% Loss Reduction means fewer kWh purchased

Capacitors Improve Voltage

= (250 kVAR x 5% impedance) 500 kVA =2.5% voltage improvement

Capacitors can help improve motor performance and overall production

Capacitors Can Reduce Carbon Footprint

A typical plant with a 1,500 KVA demand will use 500,000kwh/month Typical I2R losses can be as high as 2.0% of the kwh consumption Resulting in 120,000 kwh saved annually Transformer loss reduction can be an additional 10% in kwh reduction

Carbon footprint reduction of 90 metric tons per year

Capacitors Reduced Carbon Footprint and Saved $$$

The Situation 8 diesel generators supply power to plant Annual fuel cost $5M Load 8 MW Initial power factor .74

Bauxite Mine Saves $$$...

and helps the earth too

The Solution Installed 4200 kvar Total installed cost $200k Raised power factor to .95

The Result Reduced fuel usage Reduced maintenance Lower cooling costs Additional transformer capacity

$650k annual savings 1500 M Ton annual carbon footprint reduction

Benefits of Capacitors

Reduced Utility Bills Increased System Capacity Increased System Efficiency

Reduced losses in transformers & cables

Improved Voltage Carbon Footprint Reduction Capacitors = $ Savings + Better Plant Efficiency + a Greener Planet

When You Know Total Plant Consumption

Use 12 Months of Utility bills if possible Find worst KVA or kW and Power Factor, or KVAR used Determine desired Power Factor Use Charts to find kW Multiplier Motor data can be useful
Voltage, RPM, HP, Type

Well do this review for you

Installing Capacitors in the Plant

Main Bus Motor Feed Circuit Breaker Fixed Capacitor Bank Automatic Capacitor Bank Fused Disconnect Fixed Capacitor Contactor Fixed Capacitor Thermal Overload M

Where to Locate Capacitors

At the Motor

At the Main Bus

Large amounts can be installed Can use fixed & switched capacitors Easy to maintain

Advantages
Easy to install Can mount & switch with equipment No expensive switchgear Minimal transients Most line loss reduction Most accurate correction

Advantages

Switching can be expensive No line loss savings

Disadvantages

Disadvantages
More units to install More expensive per kvar

Capacitor Equipment Options

Equipment type is determined by

Plant Voltage Amount of KVAR needed Space available Economics Preference

Capacitor Equipment Options

Voltage Low Voltage Medium Voltage 208-600 volts 2.4 KV-34.5 KV

Equipment Fixed and Automatic (at motor and incoming) Pole top Metal Enclosed Substation Stack Rack Substation Stack Rack

High Voltage

>34.5 KV

Low Voltage
Automatic banks

Low Voltage
208-600 volts Fixed or automatic 2-2400 KVAR Can put small amounts of KVAR at motors Can install a bank at the facility incoming Can be used at facilities of all sizes, indoors or outdoors Can be used in conjunction with MV or HV capacitors Easy to install
Typical dimensions 30H x 24W x 8D

14H x 15W x 7D (2.5 kvar) 30H x 29W x 7D (200 kvar)

Fixed bank

Typical dimensions 85H x 32W x 25D

All banks are UL Listed

StacoVAR ML Fixed Capacitors

Fixed Capacitors
NEMA 1, 3R & 12 enclosures
For all motors in the plant Enclosures to fit every customers needs

208 to 600 volts, 2 kvar to 400 kvar With 3 Fuses and Lights
Customer knows when a fuse operates For harmonic rich environments

Optional filter reactor available Most ratings in stock

StacoVAR Automatic Bank Systems

Automatic Capacitor Banks

NEMA 1, 3R and 12 enclosures
An enclosure for every customers needs 5 year warranty offers customer peace of mind Handle even the toughest switching duty Easily programmable Keeps customer informed of his power factor Fits in spaces others dont Up to 2400 KVAR available in one bank

Heavy duty 3 phase capacitors Capacitor-rated contactors Microprocessor based controller Up to 800 kvar in a single enclosure De-tuned iron core reactors (3.78th)

Controller

Typical dimensions 85H x 32W x 25D

Allow for power factor correction in a harmonic rich environment

Blown fuse light and breaker option

StacoVAR Automatic Bank Systems

StacoVAR mini Automatic Bank

Smaller footprintallows it to fit in tight spots
Up to 300 kvar at 480 volts Up to 150 kvar at 240 volts

NEMA 1 enclosure with top or side entry Same components as the full-sized automatic bank resulting in the same high quality
Heavy duty metalized self-healing 3 phase capacitors Capacitor-rated contactors with damping resistors Microprocessor based controller
62H x 33W x 17D

Optional circuit breaker and blown fuse lights Designed to provide the right amount of kvar at a very competitive price allowing for a shorter payback

StacoVAR mini extended kvar range Automatic Bank

Latest addition to the StacoVAR mini line

Smaller footprintallows it to fit in tight spots
Up to 75 kvar at 480 volts Up to 37.5 kvar at 240 volts (28 kvar at 208 volts)

Smaller steps for precise control Wall mounted NEMA 1 enclosure with top or side entry Same components as the full-sized automatic bank resulting in the same high quality Blown fuse lights standard Optional circuit breaker StacoVAR mini brochure updated to include these new ratings

30H x 24W x 8D

Designed to provide cost effective power factor improvement for commercial and small industrial customers

Metal Enclosed

Medium Voltage
Metal Enclosed 2.4-34.5 KV Fixed or automatic Multiple steps available De-tuned or filter banks 300-25,000 KVAR Usually used only at large industrial facilities Pad Mount banks

Typical dimensions 5D x 8H x 10-20L

Medium Voltage Fixed

Medium Voltage Fixed

2400 and 4160 volts 3 phase capacitors 25-900 KVAR 3 fuses for complete protection
Line-to-line, line-to-ground Requires 120 volt source

Blown fuse lights available Indoor or outdoor installations For installation at large motors Components stocked for short lead time Brochure available at www.stacoenergy.com

Substation Stack Rack

Typical dimensions 6D x 18H x 18-25L

Equipment Comparison

Low Voltage Fixed Installation Expertise to Install Assembly Assembly time KVAR per step Switching Equipment Cost* Apply to small motors Easy In house maintenance staff Self Contained Hours All on at once
Use existing motor contactor

Low Voltage Automatic Install at incoming LV Electrician Self Contained 1-2 days 25-100 KVAR Inexpensive contactor $20-30/KVAR

Metal Enclosed Install at incoming MV/HV Electrician Self Contained 3 days 300-2000 KVAR Expensive contactor or switch $15-40/KVAR

Substation Stack Rack Install at incoming MV/HV Electrician & Crew Many parts to assemble 1-2 weeks 300-5000 KVAR Expensive switch $10-20/KVAR

$8-30/KVAR

*Equipment costs vary widely based on options and equipment rating

Harmonic Distortion
Harmonic Solutions

What are Harmonics?

An integer multiple of the fundamental frequency Continuous disturbances Additive Makes installing capacitors more expensive
5th Harmonic= 300 Hz 3rd Harmonic= 180 Hz 7th Harmonic= 420 Hz

Harmonics are not:

Transients Spikes Surges Sags Impulses

Harmonic Sources and Symptoms

Symptoms of harmonics Nonlinear loads cause harmonics
Adjustable Speed Drives Programmable Controllers Induction & Arc Furnaces Uninterruptible Power Supplies Any Rectifier Type Load

Transformer heating Motor and generator heating, vibration and burnout Neutral heating Nuisance fuse operations Insulation deterioration Electronic control malfunctioning Inconsistent meter readings Voltage regulator miss-operations Capacitor failures Circuit breaker tripping

StacoSine Active Harmonic Filter

Active Harmonic Filter

Sub-cycle Response Cancels 3rd to 51st Harmonics
Allows customer to meet IEEE 519 Standards Paralleling capability allows for additional capacity Above 480 v with step-up transformer Allows for easy customer interface and interpretation of data

Wall Mounted

25-200 Ampere Ratings

208-480vac, 3-Wire Systems

LCD Graphic Display and analyzer

Free Standing

Harmonic Distortion Solutions

When harmonics are present, you can:
Do nothing Add de-tuned capacitor banks
Continue to pay a power factor penalty Usually driven by economics (long payback) Tuned near the 4th harmonic Allows capacitors to operate in a harmonic rich environment Eliminates some of the harmonics from the system A relatively easy solution Tuned just below the 5th harmonic Eliminates much of the harmonics in the facility Usually requires a system study to determine the level of harmonics

Add filter banks

Add active harmonic filters

Eliminates the harmonics on the system Handles 3rd through 51st Does not have a major impact on power factor