Less than Two Year Payback
NORTHERN UTILITIES IS HELPING businesses save £1 in every five on their electricity bills, cutting thousands of pounds of waste and reducing carbon emissions, in response to rising or recently added charges from electricity Network Operators.
Firms with poor reactive power consumption are discovering they are being hit by a new penalty charge on their bills, piling additional pressure on already rocketing energy costs.
Payback periods on Power Factor Correction equipment to solve this problem are typically within just 2 years.
The increased fees impact most on large consumers, with over 100kw usage – who are now subject to mandatory, half-hour data readings. Failing to use this information to improve efficiency means often unnecessary and steep rises in costs. But smaller customers do not escape! Where meters do not provide enough information, Distribution Companies may charge for Reactive Power on an estimated basis – saying they are obliged to recover the cost of excess demand.
Why Correct Power Factor?
Director of Northern Utilities, Terry Thorpe, says:
“If you’re inefficient then it’s a bit like paying for too much froth on your beer! You need to understand how waste energy charges are appearing on your bill to take the first steps to cutting unnecessary costs. Firms with Reactive Power concerns need more current to achieve the same output. But improved smart metering means it can be calculated more accurately – and that has led to extra charges on bills, which our customers don’t want to pay!”
If you’d like more information, here’s the technical background to PFC.