if power factor is above 1 then the load takes lees current 
than rated.

at unity power factor all active power used so it is real 
power and reactive power will be zero so losses will be 
zero.

but power factor never goes above unity as it is cosine of 
angle between ph diff of voltage and current 
and 
cos0=1(unity)

(note: Provas plz can u describe)

Voltage at transformer terminal increases.You can utilise 
full KVA of transformer.Electricity company asks to 
maintain pf near to unity to reduce the losses in 
transmission as the current reduces reducing the I2R loses.
This is why we get incentive on energy charges from supply 
company.

The power= Voltage*current*power factor... So when the 
power factor is equal to or naer 1 the input voltage and 
curret is fully utilised.. so losses..But we can't made the 
Power Factor more than 1 in Practical life..

if power factor is one means it is a resistive load no 
loses due to induction it is like a dc ckt

If the power factor is unity that means the load is 
resistive load and as the load with lpf wil draw high 
current and load with high pf wil draw less current ,so we 
have less losses and the pf can never bemore than 1 because 
the cosine function varies a max. of 1.
       Since load is resistive the output waveform is 
purely a sinusoidal waveform without any diturbances