What is power factor correction?

Power factor correction (PFC) is a technique of counteracting the undesirable effects (primarily increased current draw and power losses) of electric loads that create a power factor (PF) that is less than 1. Power factor is the ratio of real power (used to do work) to apparent power (total power supplied to the circuit). PFC improves power quality, reduces electricity costs, and increases the capacity of electrical systems. It's commonly used in equipment with inductive loads like motors, transformers, and fluorescent lighting, and in electronic power supplies.