Enhancing Power Quality through Power Factor Correction Using Shunt Capacitor Banks: A Case Study at 150 kV Pauh Limo Substation

Abstract

The increasing penetration of inductive loads in power systems often results in low power factor, excessive reactive power demand, and voltage instability, which degrade overall system efficiency. This study focuses on improving the power factor at the 150 kV Pauh Limo Substation, Indonesia, through the application of shunt capacitor banks. A load flow analysis was conducted using ETAP 12.6 software with the Newton Raphson method under three operating conditions: normal, critical, and compensation scenarios. Simulation results show that the existing system operated with a power factor as low as 0.78, below the national standard of 0.85. By integrating shunt capacitors, the power factor improved to above 0.92, reactive power demand decreased by approximately 25%, and bus voltage deviations were maintained within permissible limits. Furthermore, transmission losses were reduced, enhancing both technical efficiency and power quality. These findings highlight that shunt capacitor installation provides a reliable and cost effective solution for reactive power compensation in high voltage substations, ensuring compliance with utility standards while improving system stability.