How does adding capacitors to a power system help?

Adding capacitors to a power system primarily improves the power factor. The power factor is a measure of how effectively the electrical power is being converted into useful work output. In alternating current (AC) systems, loads such as inductors (found in motors and transformers) draw reactive power in addition to active power (the power that performs useful work). This can lead to a less efficient system with a low power factor.

When capacitors are added to the system, they provide reactive power, which helps to offset the inductive effects of the loads. This compensation leads to an overall improvement in the power factor, meaning that the system can transmit more useful power with the same amount of current.

Furthermore, a better power factor results in a reduction of losses in the electrical system, minimizes the demand charges from utilities, and leads to lesser voltage drops across the distribution network. Thus, enhancing the power factor through the use of capacitors is a common practice in power systems to promote efficiency and stability.