Power Factor Correction Calculator
Capacitor kVAr needed to fix power factor.
Reviewed by the Calculation Machine team · Updated 24 October 2026 · How we check our maths
Your values
ⓘ Live results
- Capacitor size needed
- 95.3 kVAr
- kVA before
- 208.3
- kVA after
- 157.9
- Monthly saving
- $403.51
Quick answer
The capacitor rating needed to correct power factor is kVAr = kW × (tan φ₁ − tan φ₂), where φ₁ and φ₂ are the angles whose cosines are the present and target power factors. A 150 kW load at 0.72 power factor needs about 95.3 kVAr to reach 0.95, cutting apparent power from 208.3 kVA to 157.9 kVA.
What the Power Factor Correction calculator does
This calculator sizes the shunt capacitor bank (in kVAr) that raises a load's power factor from its current value to a target, and shows how far apparent power (kVA) drops as a result. If your utility bills demand on kVA, enter the demand charge to estimate the monthly saving.
Facility managers and electrical engineers use it when a utility bill shows a power factor penalty or a kVA demand charge, or when a transformer or feeder is close to its current limit. Inductive loads — motors, compressors, welders and older fluorescent ballasts — are the usual cause of low power factor.
The result assumes a steady, balanced load and sinusoidal current. It gives the total kVAr for the whole load; how that is split between fixed and automatically switched capacitor steps is a design decision. The three-phase power calculator helps you get the kW and power factor from measured voltage and current.
The formula
kVAr = kW × (tan(arccos PF₁) − tan(arccos PF₂)) kVA = kW ÷ PF
| Symbol | Meaning | Unit |
|---|---|---|
| kW | Real power drawn by the load (from a power meter or demand reading) | kW |
| PF₁ | Present power factor (cos φ₁) | 0–1 |
| PF₂ | Target power factor after correction (cos φ₂) | 0–1 |
| kVAr | Reactive power the capacitors must supply | kVAr |
| kVA | Apparent power the supply must deliver | kVA |
This follows from the power triangle: reactive power is kW × tan φ, so the capacitors must supply the difference between the reactive power at the old and new angles. The method is the standard one described in IEEE Std 1036 for applying shunt capacitors. The monthly saving assumes demand is billed per kVA; if your tariff penalizes reactive energy (kVArh) or low power factor instead, the saving must be worked out from that tariff. Loads with heavy harmonics, such as variable-frequency drives, need detuned capacitors or filters rather than plain capacitors.
Worked examples
Industrial plant with motor loads
A plant drawing 150 kW at 0.72 power factor is billed $8 per kVA of monthly demand and wants to reach 0.95.
Inputs
- Real power150 kW
- Current power factor0.72
- Target power factor0.95
- Demand charge per kVA8 $
Result
- Capacitor size needed95.3 kVAr
- kVA before208.3
- kVA after157.9
- Monthly saving$403.51
About 95 kVAr of capacitors drops demand by roughly 50 kVA. Line current falls by about 24%, which also cuts cable and transformer losses by roughly 43% because losses scale with current squared.
Small workshop
A 45 kW workshop with compressors and machine tools runs at 0.80 power factor on a $6 per kVA demand charge.
Inputs
- Real power45 kW
- Current power factor0.8
- Target power factor0.95
- Demand charge per kVA6 $
Result
- Capacitor size needed19 kVAr
- kVA before56.3
- kVA after47.4
- Monthly saving$53.29
A 19 kVAr bank (a 20 kVAr unit in practice) saves around $53 a month. Compare that with the installed cost of the capacitor bank to get the payback period.
Large facility aiming high
A 600 kW site already at 0.85 wants 0.98 to free up transformer capacity, with a $12 per kVA charge.
Inputs
- Real power600 kW
- Current power factor0.85
- Target power factor0.98
- Demand charge per kVA12 $
Result
- Capacitor size needed250 kVAr
- kVA before705.9
- kVA after612.2
- Monthly saving$1,123.65
250 kVAr releases about 94 kVA of transformer capacity. Going from 0.95 to 0.98 costs proportionally more capacitance for less gain, and an automatic switched bank is needed so light-load periods do not over-correct.
kVAr multiplier table
Multiply your load in kW by the factor in the table to get the capacitor kVAr. The 150 kW example uses 0.72 → 0.95, which falls between the 0.70 and 0.75 rows.
| Present PF | To 0.95 | To 0.98 | To 1.00 |
|---|---|---|---|
| 0.60 | 1.005 | 1.130 | 1.333 |
| 0.65 | 0.840 | 0.966 | 1.169 |
| 0.70 | 0.692 | 0.817 | 1.020 |
| 0.75 | 0.553 | 0.679 | 0.882 |
| 0.80 | 0.421 | 0.547 | 0.750 |
| 0.85 | 0.291 | 0.417 | 0.620 |
| 0.90 | 0.156 | 0.281 | 0.484 |
Choosing a target power factor
- 0.95 lagging is the most common target. Many utilities apply penalties or reactive charges below about 0.90–0.95; UK distribution tariffs, for example, charge for reactive energy beyond roughly the 0.95 equivalent. Check your own tariff for the exact threshold.
- 0.97–0.98 can make sense where transformer or generator capacity is tight, but each extra point costs more kVAr per kVA saved.
- Avoid unity or leading. Over-correction at light load pushes power factor leading, can raise voltage and may itself be penalized.
- Correct at the source where practical. Capacitors fitted at large motors switch with the motor, reducing current in the branch wiring too; a central bank only relieves the supply side.
Practical cautions before installing capacitors
Capacitors and the supply's inductance can resonate at a harmonic frequency. On sites with many drives, UPS systems or LED drivers, a harmonic survey comes first, and detuned (reactor-protected) banks are the usual fix. Never size a motor-mounted capacitor above the motor's no-load magnetizing kVAr, or the motor can self-excite when switched off. Capacitor banks store charge after disconnection, so installation belongs with a qualified electrician or engineer. A VFD energy savings calculator is useful if you are weighing drives as part of the same upgrade.
How to use the Power Factor Correction Calculator
- 1Enter the real power load in kW — use the peak demand from your bill or a power-quality meter, not a nameplate total.
- 2Enter the present power factor, shown on many commercial bills or calculable as kW ÷ kVA.
- 3Enter the target power factor, usually 0.95.
- 4Enter your demand charge per kVA per month to see the saving, then round the kVAr up to the nearest standard capacitor size.
Frequently asked questions
How do I calculate kVAr for power factor correction?
Multiply the load in kW by tan φ₁ minus tan φ₂. For 100 kW going from 0.80 to 0.95, that is 100 × 0.421 = 42.1 kVAr.
Does power factor correction save money for homes?
Generally no. Residential meters bill real energy in kWh, so improving power factor does not reduce a typical household bill, despite claims made for plug-in savings devices.
What is a good power factor?
0.95 or above is generally considered good for commercial and industrial sites. Below about 0.85 a site is usually drawing noticeably more current than its real load requires.
Can power factor be over-corrected?
Yes. Too much capacitance makes the power factor leading, which can raise voltage, stress equipment and attract penalties. Automatic switched banks add or remove capacitor steps as the load changes to prevent this.
How much does power factor correction reduce current?
Current falls in proportion to kVA. Raising 0.72 to 0.95 cuts current by about 24%, since 0.72 ÷ 0.95 ≈ 0.76.
References
- IEEE Std 1036: Guide for the Application of Shunt Power Capacitors — Institute of Electrical and Electronics Engineers (IEEE)
- IEEE Std 18: Standard for Shunt Power Capacitors — Institute of Electrical and Electronics Engineers (IEEE)
About this calculator
- Built and reviewed by the Calculation Machine team · How we build and test calculators
- Last reviewed: October 24, 2026
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