The Providence news. (Providence [R.I.]) 1891-1906, 1892-05-05
The FINANCIAL NEWS.

The proposition Of tho Narragansett
Electric Light Company as shown In Its
bill now before the Legislature Is SO novel
in its purpose and details as TO be Of more
than ordinary interest In financial cir
cles. AS matter of fact IL does not diff
fer from the original franchise act" ex-
cept Ia some minor details aud In explic-
itness of language, and both the details
and explicitness could as readily have
been introduced into the contracts con-
templated under the franchise act as into
a separate act to be passed by the Legisla-
ture.
While the expediency of ths measure
from the city's point OF view cannot be
doubted 1t Is questionable whether con-
sservative investors will accept the condi.
Electric Electric Light Company without
some opposition. 1t Is true that the com
pany receives an exclusive right for
twenty years, but IL so hedges In that
right as to make il more Of u shadow than
substance. BY the terms OF the bill the
representative three various powers
which give its control absolutely into tn
hands of that body. Under their the City
Council may:
First-Prescribe the exact location of
the entire system OF poles and wires.
Second-Compel the extension or the
service into any district whether profit
Third-Control the methods of manu-
facture and distribution OF the ELECTRIC
currents, forcing the introduction OF all
the latest methods and discoveries
whether they arc profitable or not;
Besides these things, 1t has submitted
to IL regular reports of the gross earnings.
and receives not less than 2 per cent. OF
them In special taxes.
IL will be remembered that the main
argument used against the original fran
.tu ,,Is fn ha mi
Railroad CO., or the Narragansett Electric
Light CO., was that some new method OF
propulsion for cars or new methods OF
electrical manufacture should arise. the
benefit OF which the city would not re-
ceive under twenty-year contract. So
far now as language can convey 1t this OBJ
lection is entirely removed by the follow
ing provision:
sEc. 3. Whenever In the opinion Of the City
Council Of the city OF Providence the public good
na oSss GS Rss Snss
appliances and appurtenances for the transmission
aaa aa" ns
f % hs and 0n & & es S
SSS ss4s s,.$ss s ssssSS ssS:r :S s
Council may, "a, any time an and from time time
SrnS order a ss
ing Company, or party claiming under, IT, TO con-
wires conductors and and other struetaers sysiens q
methods, appliances and appurtenances within said
city, within one year after the passage OF said
order and upon default on the part OF said Nara
gansett Electric Lighting Company. or party claim-
said time the exclusive rights granted by this act
shall thereupon cease and determine.
This is the essence Of the whole bill, and
the candid citizen must feel satisfied that
his rights are being most fully protected.
lie has no need TO doubt the efficiency of
the service unless the city council is re-
miss in its duties. But the conservative
investor may we'll pause and consider
whether or not he cares to put his money
into corporation, whose business is 80
completely at the mercy of city govern
ment composed OF men whose knowledge
of its details must necessarily be limited.