Low power factor means you’re not fully utilizing the electrical power you’re paying for.

Take an exapmle from the triangle relationships 5 demonstrate, kVA decreases as power factor increases. At 70% power factor, it requires 142 kVA to produce 100 kW. At 95% power factor, it requires only 105 kVA to produce 100 kW. Another way to look at it is that at 70% power factor, it takes 35% more current to do the same work.