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. Oftentimes it’s not obvious to the untrained eye when there are extra charges associated with a bad PF on the customer bill. In this blog post, we are going to walk through PF and hopefully make it more understandable to the average commercial and industrial consumer.

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