This document discusses automatic power factor compensation for industrial use. It begins with introducing energy and the concept of power factor. It then discusses the nature of loads containing resistance, inductance and capacitance components and how power factor correction can be achieved. It provides a block diagram and explanation of how the system works using a zero crossing detector and control module. It shows power triangles comparing the system before and after power factor correction, noting improved plant efficiency and additional loads that can be added to the system with a higher power factor. Finally, it outlines the merits of improved power factor such as reduced costs and overloading, as well as the demerits of a low power factor such as increased costs, overloading, and reduced efficiency.