Capacitor Units Save Money on Your Electric Bill!

How does it work?

When a motor in your home starts, it asks your utility company's transformer for power. The demand of electricity from your motor runs through the wiring in your home to the panel box traveling to your meter, finally reaching its destination of the transformer and back down to your home again. Throughout this process, the lines/wiring heats up and strains the motor and wiring. The heat generated is called watts.

During a normal electrical process there is lost energy that you are being billed for by your utility company, but are not able to use. The capacitor stores (otherwise lost energy/watts) and releases energy to your motor when needed to function properly. This reduces the amount of heat on the wires and the motors in your home or business. Reducing this heat will lower your electricity bill and increase the life of your motors.

Inductive Motors are in your refrigerator, freezer, washer, dryer, ceiling fans, elevators, air conditioning units, etc. If you use the old T-12 Fluorescent Lighting, the ballast is also an inductive load. Anything with a copper winding that creates an electromagnetic field is an inductive load, just like your inverter that turns DC current into AC current. Using methods from large industrial complexes, capacitor reclaims wasted energy and recycles electrical energy. It protects against power surges and increases the capacity to your electrical panel by causing it to run cooler. By doing so, this saves you money

"Over 16 Billion Dollars of Electricity is unusable energy, but billable in the U.S." US Department of Energy

How We Know it Works?

It is an inductive load for your power company, just like the motors in your home (A/C, refrigerators, etc.), this is your power company's inductive loads, and these are the capacitors your power company uses to correct their power factors. When you correct the power factor, it reduces demand. The electric meter that your electric company reads is a demand meter. With the proper use of capacitors you can reduce demand and legally slow down your meter; your electric company has been using this very same technology for 70+ years to correct their power factors. Now why would your power company spend tens of thousands of dollars on a capacitor bank to correct their power factor if it doesn't work?

It Does Work!

If you look around your neighborhood on the power poles, for about every 50 transformers, you will notice 1 of these banks of capacitors correcting the power factors of the transformers in your neighborhood.

How Many Capacitors Do I Need?

Usually a home needs 1 unit; for a business, it depends on the amount of panels -- capacitors work up to 200, 400, 600, 800, and 1000 amps. If you are unsure, check your panel box. If your main breaker is 200 amps or less, you will need only 1 unit.

Electric power has two components:

  • Active power, which produces work
  • Reactive power, which is needed to generate magnetic fields required for operation of inductive electrical equipment, but performs no useful work
  • Active power is measured in KW (1000 Watts)
  • Reactive power is measured in KVAR (1000 Volt-Amperes Reactive)

Total power is measured in KVA (1000 Volts-Amperes). The ratio of working power to total power is called Power Factor. The function of Power Factor Correction Capacitors is to increase the power factor by supplying the reactive power when installed at or near inductive electrical equipment.

How Capacitors Save Money

Capacitors lower electrical costs two ways

  • In many areas, the electrical rate includes a penalty charge for low power factor. Installation of power capacitors on the electrical distribution system within a facility makes it unnecessary for the utility to supply the reactive power required by inductive electrical equipment. The savings the utility company realizes in reduced generation, transmission, and distribution costs are passed on to the customer in the form of lower electrical bills
  • The second source of savings derived through the use of power factor correction capacitors is in the form of increased KVA capacity in the electrical distribution system. Installation of capacitors to furnish the non-productive current requirements of the facility makes it possible to increase the connected load by as much as 20 percent without a corresponding increase in the size of the transformers, conductors, and protective devices making up the distribution system which services the load.


  • Less total plant KVA for the same KW working power
  • Savings on monthly electric bill are very significant in areas where peak usage penalties exist
  • More KW working power for the same KVA demand
  • Released system capacity allows for additional motors, lighting, etc. to be added without overloading existing distribution equipment
  • Improved voltage regulation due to reduced line voltage drop
  • More efficient performance of equipment and motors
  • Lower operating temperatures
  • Reduction in the size of transformers, cables and switchgears in new construction so you save capital.

Our clients range from local business owners to National Chain accounts:

  • Automotive Service (14% average savings)
  • Bowling Alleys (18% average savings)
  • Car Dealerships (14% average savings)
  • Cold Storage (15% average savings)
  • Convenience Stores (14% average savings)
  • Food Markets (18% average savings)
  • Manufacturers (16% average savings)
  • Office Buildings (15% average savings)
  • Resorts (15% average savings)
  • Schools (14% average savings)
  • Water Treatment (15% average savings).

Capacitors are:

  • Manufactured in an ISO 9003 Quality Management System Plant in the USA
  • 100% money back guarantee on savings
  • Backed by up to 25 years warrantee
  • UL listed and installed by certified electrician under local fire codes.

Contact an Energy Consultant today to get started on saving money by reducing your energy usage. Call us at 202-559-9289 / 202-559-9289 or email us at sales@lewlewinc.com