What kind of Power Does a Utility Energy Meter Consider for Energy Consumption Measurement?

In the USA and probably most other places, only real power is measured and billed for residential service. The reactive power is not necessarily negligible, but the proportion of reactive power in likely similar for all residential customers. The utility considers the cost associated with reactive power when setting the price for real power.

Commercial customers may be billed in the same way as residential customers or they may be billed using measuring and calculation methods the same or similar to those used for industrial customers.

Note that all classes of customers may have some fixed charges and different rates according to amount of usage, season and time of day.

All power companies have their own method for how they charge for reactive power consumption.

You would have to call your individual power company to see how they handle getting compensated for reactive power costs
i.e. ".Utilities charge for reactive power in a countless number of ways. Some utilities charge for kvar demand, while others charge a strait fee for a power factor less than their target. To fully understand the benefits of NEPSI's shunt capacitor and harmonic filters, you must acquire your electric billing rate structure. This rate structure will describe how cost for poor power factor are added to your monthly bills. If you need assistance in calculating your pay-back periods, feel free to contact our nearest factory trained sales representatives or just call Northeast Power Systems, Inc......
66 Carey Road
Queensbury, New York 12804
Phone: 518-792-4776
Fax: 518-792-5767"