POWER FACTOR CLAUSE Clause Samples

A Power Factor Clause sets requirements for the efficiency with which electrical power is used, typically by specifying a minimum acceptable power factor for the operation of equipment or facilities. In practice, this clause may require the customer to maintain their power factor above a certain threshold, such as 0.9, and may impose penalties or additional charges if the power factor falls below this level. The core function of this clause is to encourage efficient use of electrical power, reduce losses in the electrical system, and ensure that the utility's infrastructure is not unduly strained by inefficient energy consumption.
POWER FACTOR CLAUSE. The rates and charges under this tariff are based on the customer maintaining a power factor of not less than 85% lagging. Customers are responsible for correcting power factors less than 70% at their own expense. The size, type and location of any power factor correction equipment must be approved by the Company. Such approval will not be unreasonably withheld. A penalty will be applied to the total amount of the monthly billing for supplemental and standby service for power factor below 85% lagging in accordance with the table in Power Factor Determination, Section C12. The penalty will not be applied to the on-peak billing demand ratchet nor to the minimum contract demand of the supplemental rate, but will be applied to metered quantities. INTERRUPTIBLE STANDBY SERVICE:
POWER FACTOR CLAUSE. Shall be the Power Factor Clause as defined in the Primary Supply Rate (D11).