SURCHARGE FOR LOW POWER FACTOR
The power factor for the month shall be the ratio of Kilo - Watt hours to the Kilo - Volt-Ampere Hours supplied to the consumer during the month. The power factor shall be calculated upto two decimal places. The power factor of the consumer's installation shall not be less than 0.85. If the power factor falls below 0.85 during any month, the consumer shall pay a surcharge of two per cent on the amount of that month's bill (excluding demand charges and customer charges) for each 0.01 (decimal naught one) fall in the power factor. Should
the power factor drop below 0.75 and so remain for a period of 2 consecutive months it must be brought upto 0.85 within a period of 6 months by methods approved by the Board failing which, without prejudice to right of the Board to collect surcharge and without prejudice to such other rights as having accrued to the Board or any other right of the Board, the supply to the consumer may be discontinued.
REF : APED Manual Volume I , Page no 78 , Para no 6
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