Load factor is defined as the ratio of average load or electricity consumed over a given period of time to the maximum or peak load of that period. It is the measure of utilization of electrical energy over a given period of time to the maximum energy consumed in that period i.e measure of efficiency of electricity consumption. The load factor affects the generation cost of every unit of electrical energy. The higher the load factor the smaller will be the generation cost for the same maximum load demands.
Load factor is high in system which are connected to the stable load. The value of the load factor is always less than one because the average load is always smaller than the maximum demand.
Conclusion
Hope, you have clearly understand about the load factor. Make sure to leave your opinion and suggestion about this post in the comment section below.
References
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Power System