The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-09-11
the cost Of lighting by private corpora

tu0 COSt OI ISutluS Dy private CUIPVi q
tions.
We are constantly met with the state
ment that private companies can and do
perform service better and at lower rate
than municipalities. If the statement
were reversed it would more accurately
express the truth, for all statistics bearing
on the subject of electric lighting prove
conclusively that municipalities furnish
light IS to so percent cheaper than private
companies do. And not only is this true
with regard to electric lighting but it is
also true of gas lighting and water sup
plying. The Electric World, in discussing
the subject recently, said that the sentt-
ment in favor of municipality owned
plants is steadily increasing. And why?
Because experience has proved that
cheaper and better service Is obtained.
Were it otherwise, they certainly would
not go on increasing in popularity. An
improbable business does not become
popular. The World admits that when
conducted on business principles, free
from political influence, they are sue
cess. That is stating the case very mild
ly. The fact is that out of $50 plants
owned by municipalities In this country,
the advocates of private ownership can
| not point to one where there has been
SIOSS acknowledgements VI
| Study the above figures moment. In
| 80 cities named in the above list where
private companies furnished light, only
five are furnished with light as cheap as
the highest rates charged at municipality
owned plants. OF 80 municipal plants
there are only two where the rates are
above 10 cents per light per night, while
of the 80 private there is only one where
| the rates are less than 81 cents per night
per light. The rates Of municipal plants
run as low as 61a cents per night; at the
private plants six run as high as so to IS
cents per light and one extreme case not
| given in the list, the rate is $1.20h. The
average rate charged at SO private plants
is IS cents per light, while at the public
plants It Is only Is cents. This makes
the cost at private plants $127 so per year
per arc light and at the public plants only
$55.75. If we allow IL per cent on the
capital invested in the public plants for
interest and depreciation, the average cost
per arc light per year would be increased
to about $685. leaving balance of $42.75
in favor of the public works; or in other
words the private plants charge on an
average so per cent higher rates than do
the public works.
This shows that 80 cities, with nearly
5000 arc lights, furnishing their own light
save more than $385,0OO year. And
when we take into consideration the rev.
enue which most cities derive from light
supplied to private and commercial houses
our saving will be considerably increased
The total saving year to these 30 cities
is sufficient to pay nearly one-half of the
cost of these public plants-a fact so as
founding as to seem almost Incredible.
The cities in the list are not exceptional
cases. They were not selected with {
view to make good showing for munic
ipally- plants, but were selected
without any thought as to cost. They
were selected to represent the various sec
tions of the country, and cities ranging il
population from few thousand to many
in order to insure a criterion, free from
pejudice, upon which to base conclusions
But if it is claimed that this would no
be fair criterion, we will verify our con
illusions by comparisons that certainl!
cannot be objected to. We will take SOM
of the cities which now own works, bu
which were previously furnished will
light by private corporations. The cit.
of Elgin, H., paid the local company a
the rate of $266.66 per arc light per yea
until 1889, when it began to supply itsel
with the same service for about $50 pc
light Galveston, Texas, pays only one
half, and Lewiston, Me-, only one-thir
the contract prices these cities formerl
gave to private companies. Bangor, Me
saves 800 per light by the change. Bet
ter service, greater economy in the way Q
management, and more satisfactory con
dition Of things in every respect are sal
to mark the transfer from private to pub
lie ownership, with perhaps, one or tw
exceptions, due to special and temporar
| causes.
In most cases it is possible for cities
operate their waterworks in conjunctio
with electric lighting plants, and wher
this is possible there is great saving
operating and construction expenses. On
building usually suffices for both waite
and electric plants, and the same powe
is utilized.
P. J. SEBERGER.
st. Cloud, MINI.