We have to improve the power factor of a particular system to 0.98 which will remain constant. What value of capacitor banks should be used in order to do that?
The question is as vague as possible, what you expect the answer ?
I propose 100 μf
Why? because the system I assumed will need it. And it is a pure RLC circuit so one capacitor is enough without the switched Mode requirements.
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Have you done Total Harmonic Distortion (THD) analysis on Current, Voltage, and Power of your system?
Looked back at your systems loading history?
Have a standard power factor correction table to determine the required Reactive Power loading to improve your p.f to 0.98? The table slightly varies depending on cap bank type and manufacturer.
If using centralized cap bank, total KVAR must to exceed 50% of the incoming transformer's KVAR? Since your improving to 0.98 p.f.
Type of Reactive Power KVAR, controller?
Switching modes of electrical steps and physical steps?
From THD analysis, determine your harmonic filtering range? Depending on the # of VFDs and electronic equipments used at the plant.
Importantly, the return on investment from the improved p.f?
...........and the list goes on, at least determine what you want and get a specialist to build it for you.
Look up Schneider Electric. They specialize in Merlin Gerin power correction systems, there are some good guides you can download from their web site.
What's your email address? I can send you some guides for your interest.