The choice between a fixed or automatically-regulated bank of capacitors
Where the kvar rating of the capacitors is less than, or equal to 15% of the supply transformer rating, a fixed value of compensation is appropriate. Above the 15% level, it is advisable to install an automatically-controlled bank of capacitors.
The location of low-voltage capacitors in an installation constitutes the mode of compensation, which may be global (one location for the entire installation), partial (section-by-section), local (at each individual device), or some combination of the latter two. In principle, the ideal compensation is applied at a point of consumption and at the level required at any instant.
In practice, technical and economic factors govern the choice.