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Determine the Simple Payback Period for installing power factor correction. Assume that the power factor is 0.71 and remains the same every month.

Determine the Simple Payback Period for installing power factor correction.

Assume that the power factor is 0.71 and remains the same every month.

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Determine the Simple Payback Period for installing power factor correction. Assume that the power factor is 0.71 and remains the same every month.
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Assume the monthly peak demand is 605 kW and remains the same every month. 

Assume that you need to improve the power factor from 0.71 to a mandated level of 0.95. The current demand cost is $6.38 per kW, and the cost of capacitors is $55 per kVAC.

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