Yes, I know this is not a typical situation, which is why I am asking for any potential drawbacks for installing a capacitor on a controls transformer. Harmonic resonance and ferroresonance can be issues on utility scale capacitor banks, but I have not worked with low voltage capacitor banks before.
The application example is a pump that runs only during extreme weather events. If no extreme weather events occur, the pump is tested once per month for about 30 minutes. For a typical month:
Peak demand = 50 kW @ 0.95 pf
Monthly energy usage from load= 25 kWh + 15 kVArh
Monthly reactive energy usage from dual CPTs = 86 kVArh = 0.060 VAr * 24*30*2
Monthly average power factor = 0.27
Monthly demand adjustment= 50 kW *0.95/0.27 = 170 kVA
Monthly savings = $1088 = (170 kVA-50 kVA)* $9/kVA
In a month where the pump runs for many hours, the power factor correction capacitors attached to the terminals of motor improve average power factor to 0.95 so the demand charge is based on just 50 kVA.
@David- Yes, an alternative approach would be to consume more real power (i.e. test for longer duration or install strip heaters ) to improve power factor. I had been a bit worried about explaining this pf issue to the operations folks before posting this thread. Based on the responses so far from very knowledgeable EEs who understand pf correction, I am now terrified of trying to explain this solution the operations folks.
@Bill- Is control power transformer the wrong term? I assumed MCCs typically used something along the lines of the
[URL unfurl="true"]http://ab.rockwellautomation.com/Power-Supplies/Control-Power-Transformer#selection[/url]