Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1890-01-03
Natural Mononolles.

Again and again we have had occasion to
congratulate the people Of Richmond upon
the fact that they own their gas-woIks
md wster-works. Our city fathers of old
times must have been much wiser than the
city fathers OF those places which turned
over to incorporated companies Of specu-
lators the contro, of their water-works and
gas-works. Professor Ely, of Baltimore,
is, we take u, entitled TO no little credit in
respect of this natter. He knows nas,na,
monopoly when he sees it, and he has been
10 successful in describing it that every
body who has read what he has had to say
on the subject recognizes natural mo-
nopoly a. soon as he sees one or reads q
description of one.
An indianapolis paper warns the city
fathers and the people of that place that
the monopoly of running electric cars on
the streets of that city is worth million
of dollars. This assertion agrees with what
we recently said to Messrs. JOHN A. HAM
sLrToS 4 Co., Of Baltimore. IN commenting
upon an argument which we lad read in
one of their circulars--namely, that the
franchise was worth more than oil the
other property OF an electric rail-
road company or any other street.
railroad company, we might have added.
We are not complaining that Richmond
received nothing for the franchises OF her
street-railroad companies. 1t is too late
for that. We are merely refreshing the
memory of our present city fathers in view
of the fact that at intervals of few years
they have been approached with PROPOSE
tons to buy the gas-works, and therefore
may expect to be approached with a SINH
lar proposition before many years shall
have passed over their heads.
Competition in lighting city is impos-
sible in the very nature of things. II would
be Just az reasonable 20 expect cheap water
TO follow the placing of two sets of by
drants in house as TO expect cheap gas 10
follow the laying down of two sets of pipes
in our streets. In such case only one of
two results is possible: Either one OF the
companies will fail and thus the remaining
one will become monopoly, or else both
will succeed and thus compel the con-
sumers to pay for two plants instead OF
paying tor only one. And this experience
would be repeated as often rs the city
fathers might attempt TO provide for CON-
petition.
These nre not abstract speculations.
They are the lessons taught by actual ex-
perience. We quote what writer in
leading publication has said In regard to
the injurious effects of bogus competl-
ton in the manufacture and supply of gas:
THAT municipal lightning is in its ma
ture a monopoly, and that competition IN
1t is impossible. ought to be clear. But II
there is any doubt on the subject. there is
standard evidence TO remove it. The adj
mission of competitive gas companies has
been tried in Albany, Baltimore, Buffalo,
Brookly, Chicago, Charleston, Detroit,
Harrisburg, Jersey City, Lancaster, Mem
phis, Newburg, New Orleans, New York
city, Poughkeepsie, Providence, Paterson,
st. Louis, Savannah, and Trenton. In some
OF these cities as msny as three competing
companies were admitted, the consumers
overlooking the fact that they could not
switch from one set of pipes to another at
will, even If there were a dozen sets OF
pines in the streets belonging to as many
different companies. And certainly 1t would
be useless for any other city TO attempt
what these twenty tried and failed at. For
in every instance the result was the same
Iutre wa, ki'aN h6he AZ VIZ wy
Council--by the new company. to Sc,
cure franchise, and by the old
one to prevent it. Aldermanic bribery
was charged, and no doubt with
good reason. Finally the franchise was
granted. Then the streets were torn up,
travel was obstructed. business was i'm
peded, and in many cases the .pavements
were practically ruined in relaying. As
soon as the new company began to manu-
facture the price fell. and for time the
citizens obtained apparently cheap gas.
But It was usually found that the quality
was poor; that il was forced through the
pipes under high pressure, and that for
the service rendered the bills were no
smaller. Then came the logical end. The
buyers were many and tho sellers few, and
II was easier for the sellers to combine than
to compete. The companies pooled or di-
vided the territory. or sold out or formed
@ trust; the price of COS advanced by 90 to
$50 Der cent. and the consumers had to
pay interest on two plants where one was
enough. There IL not city in the coun-
try which has to-day competition in gas
There was never a second company organ
ized which intended to compete. They all
promised cheap gas TO get the franchise;
but the real intention is TO sell out as soon
as the original company can be brought to
terms"
We said bogus competition" No
other sort of competition Is possible. As
well attempt TO deepen James river by
providing for that stream dozen chan
malls tnataad of only o,,f