Let’s start with VARs V=Volts A= Amps R = Reactive V x A = Watts Reactive= out of phase ( going the wrong direction) because it went through phase shift in the coil
The kilowatt hour meter was designed in the early 1900s and have never measured the unconsumed kilowatts. Never understood that one! Engineers in India have been campaigning for a ‘supply’ meter. There would be issues there also.
Utilities install passive capacitor banks in switchyards and substations because the unconsumed kilowatt losses compound exponentially by distance there is already a ton of line congestion losses but it’s the best they can do with the technology they have.
Where there's a large customer as a primary cause of it, they'll make them pay for it. They've been doing it forever.”