Reactive power and the related reactive current are involved in the generation of electrostatic or electromagnetic fields. Because these fields continuously ebb and flow in time with the alternating voltage, the energy continuously oscillates between the generator and the electrical equipment. This can neither be used nor converted into another form of energy. Actually, this unused power puts a strain on the power supply network, on which the reactive current must be transported in addition to the active current, and on the generators and the transformer, where the reactive power originates from. Keep in mind that utility providers charge also for the consumption of reactive power.
Schrack reactive current compensation systems reduce the reactive power. This helps you to save money thanks to lower energy costs.