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What is the Principle of Global compensation and its advantages in power factor correction system (Varplus) .

Principle of Global compensation type Power Factor Correction:
The capacitor bank is connected to the busbars of the main LV distribution board for the installation, and remains in service during the period of normal load.
Advantages:

  1. It reduces the tariff penalties for excessive consumption of kvars
  2. Reduces the apparent power kVA demand, on which standing charges are usually based
  3. Relieves the supply transformer, which is then able to accept more load if necessary
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