Power Factor Correction What is power factor? How to organise installation and apply for a rebate Power factor is the ratio of the amount of electrical power that is actually used at the premises compared to the amount of electrical power supplied. A power factor of 1 implies that you are paying only for what you use. A power factor of less than 1 implies that you are paying for what you use plus an amount that you could have avoided by installing Power Factor Correction (PFC) equipment. • Talk to your electrical contractor to arrange a quote. ActewAGL’s preference is that your electrical contractor is a member of NECA*. • ActewAGL will provide a rebate towards the cost of the equipment and installation of your PFC equipment. * National Electrical Contractors Association. Terms and conditions How can power factor be improved? ActewAGL requires that power factor be greater than 0.90. A lower power factor can be improved by installing PFC equipment sometimes called a capacitor bank. PFC equipment not only reduces the power not used but also reduces peak demand on the electricity network. The PCF equipment is housed in a metal cabinet, similar to the one that houses your electrical switchboard, and is often located in or near your main switch room. The graph below demonstrates how peak demand can be reduced after PFC equipment is installed. • Your electrical consultant or contractor will submit a design proposal to ActewAGL for verification as we need to know that the PFC equipment is rated for your load and that the equipment chosen complies with the ActewAGL’s Service and Installation Rules for Connection to the Electricity Distribution Network. • ActewAGL will provide a rebate towards the cost of the equipment and installation of your PFC equipment after it has been installed, successfully commissioned and an invoice submitted. • PFC equipment must be installed and successfully commissioned, including any approval by ESDD , before 30 May 2014 to be eligible for the DMIS rebate. • Estimated savings have been calculated by ActewAGL based on 2012 usage data. • Electricity bill savings apply to the demand component of electricity charges only. • PFC equipment must be installed in the ACT to be eligible for the rebate. 1000 900 800 700 600 500 400 300 200 100 0 Jan Feb Mar Apr May Peak demand after installation Jun Jul Aug Sep Oct Nov Dec Current peak demand The cost of PFC equipment varies depending on the nature of your business and its size. There is a cost for this installation however expected payback periods are typically between 1 and 3 years. For more information please call ActewAGL on 02 6293 5898. Language assistance What is the Demand Management Incentive Scheme? To help you improve the quality of electricity supply at your premises and reduce energy costs, ActewAGL has launched a Demand Management Incentive Scheme (DMIS). For a limited time, if you decide to install PFC equipment at your premises ActewAGL will provide a rebate towards the cost of the equipment and installation. Who is eligible? CCA0813/04 Commercial customers on Demand tariff are eligible to participate. Customers on these tariffs have a significant component of their monthly charge based on the highest or peak demand. The PFC equipment has the capacity to reduce this peak demand and therefore the cost for electricity. ActewAGL House 40 Bunda Street Canberra ACT 2600 I GPO Box 366 Canberra ACT 2601 t 13 14 93 I f 02 6249 7237 I actewagl.com.au ActewAGL Distribution ABN 76 670 568 688. 13 14 50