what is load factor and how it affects bill patern

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Load factor is the ratio of the average power consumed to the maximum demand. It affects the billing pattern by determining the cost of electricity usage.

Load factor is calculated by dividing the total energy consumed over a given period by the product of the maximum demand and the duration of the period.
A high load factor indicates efficient utilization of electricity, resulting in lower costs per unit of energy consumed.
A low load factor suggests inefficient use of electricity, leading to higher costs per unit of energy consumed.
Load factor is important for utility companies to plan and manage their power generation and distribution infrastructure.
For example, a factory with a high load factor consistently operates its machinery at near-maximum capacity, resulting in a more favorable billing pattern compared to a factory with a low load factor that experiences frequent fluctuations in power demand.

what is load factor and how it affects bill patern

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