Services

Reactive power compensation

Paying for excess reactive energy? We design and install turnkey reactive power compensation — the energy investment with the shortest payback.

What you get

  • Removes or sharply reduces the “excess reactive energy” charge on your bill.
  • Usually the shortest payback of any energy investment a company can make.
  • Less load on transformers, cables and switchgear — lower losses and more headroom for new equipment.
  • More stable voltage and fewer power-quality problems.
  • Tailored solutions: automatic capacitor banks, detuned banks where harmonics are present, or active filters.
  • Delivered turnkey, together with trusted equipment partners.

If your electricity bill has a line for excess reactive energy, you are paying for energy that does no useful work for you. Reactive power compensation is one of the few investments whose effect shows up on the very next bill.

Who it is for

  • Production sites with many electric motors, pumps, fans and compressors.
  • Cold stores, meat processors, dairies and shops with refrigeration.
  • Sawmills, metalworking shops, concrete plants.
  • Commercial buildings with HVAC systems and lifts.

How it works

Inductive loads (motors, transformers) need reactive power to build magnetic fields. If you don’t generate it on site, you draw it from the grid, and the operator charges for it when the power factor falls below the required limit. The general conditions for electricity supply in the Federation of BiH use an average power factor of cos φ = 0.95 as the reference.

A compensation device — usually an automatic capacitor bank with a controller — generates reactive power on site and switches steps in and out to follow the load. The result: you draw almost only active energy from the grid.

In plants with variable-speed drives, rectifiers and LED lighting, harmonics are present in the network. Standard capacitors can then resonate and fail quickly, so detuned banks or active filters are used. That is why we measure before we quote, rather than guess.

What is included

  1. analysis of bills and reactive energy consumption,
  2. power-quality measurement (load, power factor, harmonics),
  3. sizing and equipment selection,
  4. supply and installation of the compensation cabinet,
  5. commissioning and verification on subsequent bills.

What drives cost and payback

  • What you pay today for reactive energy — that is directly your saving.
  • Required compensation power (kvar) and number of steps.
  • Harmonics — detuned banks and active filters cost more but are necessary.
  • Installation point — central compensation at the main switchboard or individual compensation at large motors.

Why SHPP

We deliver compensation turnkey, together with trusted equipment partners, and as a company doing energy analysis since 2011 we look at the whole picture: we calculate how a future solar plant or new production line will affect the power factor. Send us your last 12 bills via the quote form and we will tell you whether compensation pays off.

Read more in our article Reactive power compensation: what it is, how it is billed and why it pays back fast.

Reactive compensation

How we work together

  1. Bill analysis

    From at least 12 months of bills we read reactive energy, average power factor and what you are paying for it.

  2. On-site measurement

    A power-quality analyser measures load, power factor and harmonics, because harmonics change the choice of equipment.

  3. Sizing and design

    We determine the required compensation power (kvar), number of steps, control type and installation point.

  4. Installation and commissioning

    Cabinet installation, connection, controller setup and testing under load.

  5. Verifying the result

    On subsequent bills we check that reactive energy has been brought within permitted limits.

Frequently asked questions

Questions about this service

What is reactive energy and why am I paying for it?

Reactive energy is drawn by equipment with windings — electric motors, transformers, compressors, older lighting ballasts. It does no useful work but loads the grid. Supply rules in the Federation of BiH use an average power factor of cos φ = 0.95 as the reference; reactive energy drawn beyond that is billed as a separate line item at the applicable tariff.

How do I know whether I pay for reactive energy?

Look for the line “prekomjerno preuzeta reaktivna energija” (excess reactive energy, in kvarh) and its amount on your bill. If it appears every month, compensation is almost certainly worthwhile.

How quickly does reactive power compensation pay back?

It usually pays back faster than any other energy measure, because the investment is relatively small and the saving is an entire bill line. We calculate the exact payback from your bills.

Does a compensation system need maintenance?

Yes, capacitors age. Periodic checks of capacitors, contactors and the controller are recommended, along with watching the power factor on your bills — a sudden rise in reactive energy usually means a step has failed.

Does a solar plant affect reactive energy?

It can. When a solar plant covers much of your active energy, the ratio of active to reactive energy drawn from the grid changes and the power factor at the meter can worsen. That is why we plan compensation together with solar.

Other services

  • Solar PV plants

    Rooftop and ground-mounted solar plants for businesses and households in Bosnia and Herzegovina — from load and roof analysis to grid connection.

  • Energy consulting

    Energy audits, consumption and tariff analysis, feasibility studies and a costed action plan to cut energy spend — with financing and CBAM guidance.

  • EV charging

    Design and installation of AC, fast and ultra-fast DC chargers for businesses, fleets, hotels and car parks — with smart load management.

  • Electricity brokerage

    In a liberalised market, business electricity prices differ from one company to the next. We help you understand offers, compare suppliers and cut costs.

  • Renewable generation

    SHPP develops projects and generates electricity from renewables — solar, hydro, wind, cogeneration and biogas — using the potential of BiH.

How much could your own plant save you?

Send us your basic consumption data — we will prepare a concept design and a payback estimate.

Request a quote for this service