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what is mean by restructuring power system?


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I hv a question regarding power factor improvement just after transformer. I request you to reply me plzz. thank you sir. My friend has a small unit of fabrication. in his factory the main load is a welding machine, lathe machine, grinding machine. this load is not continuous type. now our electricity board has installed 16 KVA, 11000/433 V transformer for our factory. In the energy meter (trivector meter) at LV side of transformer, i hv seen power factor value of 0.15 only when only 3 KW load was flowing. Further electricity board has suggested to install 4 KVAR capacitor at LV side after energy meter. Now my question is that if we permanantly install and switch on 4 KVAR capacitor after energy meter, during some load on transformer and also without any load on transformer, wht will be the power factor shown in energy meter?i dont want to get any penalty by electricity board, so plz suggest me if i can permanantly install and switch on the 4 kvar capacitor or not at LV side of transformer just after energy meter? Thank you again and awaiting for ur positive reply soon.

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