A standby power system's purpose is, when you're affected by a power outage, to replace some or all of the electricity you normally get from your local utility.
Usually automatic, the generator starts itself when it senses a power outage, and through an automatic transfer switch connects the generator to your electrical system.
The standby generator is designed to run the length of your power outage. Once utility power is available, the auto transfer switch reconnects you to the utility power, and the generator shuts off after a short cool down period. It then resets, awaiting the next power outage.
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