The comparison, study and proposal for China´s reactive power pricing policy

Scientific reactive power assessment rule could help encourage users to install the compensators of reactive power, which is very meaningful for losses reduction, raising the utilization of the facilities and improving the voltage quality. This paper firstly reviews the currently administrative regulation for the charging of reactive power around the world, and then the currently implemented reactive power pricing policy in China is compared with those in other countries in detail. Meantime, several shortcomings of China´s reactive power pricing policy are also found, including low power factor assessment standard, low pricing scheme for substandard users and long statistical cycle for reactive power and so on. At last, several suggestions for revising current reactive pricing policy are also proposed.