What does a power factor of less than 1 indicate?

A power factor of less than 1 indicates energy wastage due to reactance. In electrical systems, the power factor is a measure of how effectively the electrical power is being converted into useful work output. It is defined as the ratio of real power (the actual power consumed) to apparent power (the total power in the circuit).

When the power factor is less than 1, this implies that not all the power supplied to the system is being used effectively for performing work; a portion of it is reactive power, which does not contribute to useful output but is necessary for maintaining the electric and magnetic fields in inductive loads like motors and transformers. This reactive power causes energy to be lost in the form of heat, leading to inefficiencies in the electrical system.

As a result, a low power factor not only indicates low efficiency in power usage but may also lead to higher power bills as utility companies may charge penalties for low power factors. In contrast, a power factor of 1 represents optimum efficiency, meaning that electrical power is being used entirely for productive purposes without wastage.