reactive power

this phenomenon arises in delivery points operating the appliances with inductive electricity consumption (such as electric motors, transformer welding machines, etc.) which are causing a phase shift between voltage and electric current. Voltage vectors precede electric current vectors, and the magnitude of this shift is expressed by the “power factor”. The power factor expresses the ratio between active and reactive energy measured at the delivery point. In an ideal case, the power factor value is equal to 1. Then only active energy flows and no reactive energy. If the power factor is lower than 1, reactive energy, which does not do work, flows through the customer's delivery point and the distribution system, unnecessarily loading electrical distribution systems. A tariff for non-compliance with the prescribed power factor value can be prevented by installing a compensation device.
SOURCE: https://www.zsdis.sk