Reactive power, generated during connection of lag/lead phase loads to a system, circulates between the generation sector and the load side. This power has undesirable effects, including occupation of transmission capacity, generation capacity, increasing transmission line active losses and finally reduction of power quality and load reliability due to active power deficiency. In this paper, non-electrical description and definition of reactive power and a marked difference with active power is presented. Also the effect of reactive power mitigation using a capacitor bank is investigated. For educational purposes of teaching compensation advantages to undergraduate students the well-known software MATLAB-Simulink was used to simulate and investigate the effects of reactive power mitigation.

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