Power factor and reactive power
Draw reactive power and the DISCOM makes you pay for it. On kW-billed connections it arrives as an explicit PF penal charge. On kVAh billing it hides inside silently inflated units, even where the printed PF looks perfect.
The fix. The report classifies the site as under-corrected, a swinging fixed bank, or over-corrected (where adding capacitors is exactly wrong), and sizes the correction in kVAr, switching stages, detuned or plain.
Why it pays. Penal charges stop recurring, incentives can start, and on kVAh billing the billed units themselves come down. The charge repeats every month until fixed, which is why it ranks high.
By the numbers. At 0.90 average power factor, a kVAh-billed site buys about 11% more billed units than the same kWh load at unity power factor. (Power-triangle identity)