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John asked If reactive power is returned, why is industry charged when power factor is too high? is it possible to use?
I'm a bit confused. If reactive power is stored and returned to the electric company, why is industry charged when the power factor is too reactive? Would it be possible for someone to draw power in a reactive manner and then convert it to resistive power in order to avoid paying for it (I just want to learn the concepts here, I'm not trying to steal anything lol). Also, why doesn't the electric company simply measure apparent power instead of real power and charge for that?
And got the following answer:
Electric companies charge for reactive power because some energy is lost as the reactive power shuttles back and forth between the electric company and the user. In addition, the generation, transmission and distribution equipment must be sized to carry the apparent power. If the reactive power was eliminated, more real power could be supplied using the same equipment. It is not possible to convert reactive power to real power. Actual energy used must come from the source. Energy supplied by the electric company must always equal energy used plus losses due to generation, transmission and distribution equipment that is less than 100% efficient. The electric company doesn't just charge for apparent power because the most fair method of charging is to charge in proportion to the cost of supplying what is used.