## About Capacity Factor Calculator (Formula)

The Capacity Factor Calculator computes the Capacity Factor (CF) based on the provided parameters. The Capacity Factor is a measure used in the energy industry to assess the efficiency and utilization of a power generation system, typically a power plant. It quantifies how effectively a power plant or energy source is producing electricity compared to its maximum potential output.

The formula for calculating the Capacity Factor is as follows:

**CF=AEO/MEO**

Where:

**$CF$**represents the Capacity Factor, expressed as a decimal or percentage.**“Actual Electrical Output”(AEO)**is the amount of electricity that the power generation system actually produces over a specific period (e.g., a day, a month, a year) measured in kilowatt-hours (kWh) or any other appropriate unit of energy.**“Total Possible Electric Output”**(**MEO**) represents the maximum potential electricity that the power generation system could produce over the same period, assuming it operates at its full capacity continuously. It is also measured in kilowatt-hours (kWh) or a similar unit.

The Capacity Factor quantifies how close the actual electrical output is to the maximum potential output. A high Capacity Factor (close to 1 or 100%) indicates that the power generation system is operating efficiently and is consistently producing electricity near its maximum capacity. In contrast, a low Capacity Factor (closer to 0 or 0%) suggests that the system is underutilized or not operating at its full potential.