This type of compensation is applied to motors, transformers, and in general to loads
with a high time of operation.
Capacitors are directly connected in parallel to the terminals of the loads.
This system minimizes the reactive current circulating through the installation, enabling
the use of smaller switchgear and power lines or cables, which means a lower capital
expenditure for new installations.
In the case of existing installations, utilising capacitors for power factor correction will
increase the maximum apparent power that can be supplied to the installation. However
great care must be taken in selecting the size of capacitor because of the risk of self
excitation of the electric motor.