Saturday, April 23, 2011

Energy Scams

It is with much regret that I once again need to raise the issue of energy scams.

I do not claim to be the all knowing of energy. I do not know the quality of the products listed in the energy scams directory we publish.

But, consumer electricity bills are NOT altered by power factor correction, up or down. It is bogus and false marketing to suggest that any of these products will reduce a consumers electricity bill in any way at all. In fact, if they did by some peculiar interference with the meters working, it would be illegal. A consumer may not do anything to their electrical system which interferes with its readings of electricity consumed.

Fact: Electricity utility companies bill consumers for Watts - Volts x Amps x Power Factor - the actual amount consumed.

Fact: When the power factor is less than 100% the electricity is not being lost, only its phase is being altered. The consumer electrical tariffs include provision for the losses which this "out of phase" might cause the electricity supplier.

It is true that electricity suppliers need to manage their distribution networks, and that power factor IS one of the factors that impacts their distribution losses.

It is also true that large industrial users are charged a penalty for a net power factor of less than 85%. But distribution losses will not be solved by consumers. They are aggregate issues that can only be solved by the utility companies (the smart grid) in partnership with industry and device manufacturers.

If you are considering any of the products listed in the following energy scam directory as a way to reduce your home energy bill please STOP NOW - they are misrepresenting the savings you can make!