The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1899-01-04

ELECTRIC cos CAPITAL.
Peoples Light & Power Cor
poration Raises Its Capt.
alization $50, 100000.
CHEAPER GAS FOR TWO TOWNSHIPS
Price for Electric Light to Be
Reduced Throughout the
Company's System.
CHEAPER GAS FOR TWO TOWNSHIPS

1 Sul1udIlOn OIL ln9 various blPOIdltOii
which have their home in his vicinity
occurred yesterday afternoon, when the
Board of Directors Of the Peoples Light
and Power Company met and increased
their capital stock from $5,000,00O to $780,
900, 900.
The electric light company has no bond
ed Indebtedness and the increase in capital
is made for the purpose of buying the
Elizabeth and Hoboken Electric Lighting
companies and providing for future
tensions.
This gives the Peoples Light and Power
Company control of all the electric light
ing interests of Essex, Hudson and Union
counties.
With the new companies absorbed the
Peoples Light and Power Company now
controls the following corporations:-
Newark Electric Light and Power Com
pany.
Newark Schuyler Electric Light Com
| pany
Thompson-Houston Electric Company.
Central Power Company.
Consumers Electric Light Power
Company.
Excelsior Light and Power Company.
Kearny Electric Light and Power Com
Jersey city Electric Light and Power
Essex County Electric Light Company.
Suburban Electric Light and Power
Montciair Light and Power Company.
Edison Electric Light and Power Com
pany.
North Hudson Heat, Light and Power
Company.
Consumers Heat, Light and Power
Philip N. jackson, president Of the Peo-
pies Light and Power Company, said this
afternoon that not more tina $1,000, 600 OF
the authorized increase in stock will be
issued.
The territory we cover said Mr.. jack
son, admits of great extension and our
directors nave concluded that while max
ing an increase in our capital it would be
well to look to future developments. we
have no bonded Indebtedness and do not
propose to have any. AT present We have
$5,000,O00 of stock outstanding, and VIII
issue about as much. more to cover the
cost of our newly acquired property.
THE balance of the stock authorized
ditional capital may be required In
keeping with the policy we have display
ed in the past we will, when the condi-
tons warrant such a move, make a re-
vision of our rates that will mean a ma
terial reduction in rates to consumers.
The capitalists interested deny that
there is any present intention to consol-
idate the gas II electric lighting inter
estS, and they also aver that there is no
intention to make any immediate reduc-
ton in the price of either illunlinant fur
Their han to equalize the rates charged
in the newly acquired territory.
The gas rates of both Montclair and
the former town by fifty cents per thou
sand, and that of the latter by twenty
five cents per thousand. At Montclair the
price was $210 per thousand, with the
usual rebate OF ten cents for prompt
payment of the bills. and the reduction
places il at SLIGO gross or $1.50 net.
The price at Summit was 81, with no
allowance for prompt payment, and now
1t Is Sl75 net per thousand.
Essex and Hudson Gas Company, said
today that the price of gas to con-
sumers in Newark, East Newark, Har-
rison, Kearny, Irvington and the Oranges
would remain at $l.z0 per thousand cubic
ieet net, or the present rate, until such
time as the company had completed GER
tain improvements designed to make a
better quality of gas.
found that the quality of gas furnished
Is not as good as it should be, because
Of a defect in our plant. Our intention
cost of $250,000, and for that reason we
can hardly be expected to make an ex-
traordlnary outlay of that amount and
lieve, however, that with improved IA
cilities our output will increase to such
an extent that we can, before the end
OF the present year, make a reduction
Of ten. cents per thousand cubic feet in
the price of gas.
Newark does not consume more than
oAnNtJ ~ SC4l- pei ClDlIl OIL the ADInIIHr
of gas consumed in New York. and VET
the cost of maintenance and extension of
plant mere is almost as great as in New
York. The cost of laying and reDairinr
mains in this city is as great as il New
York! Your consumption per mile of
main IS only one-sixth of that in New
York.
"In Bloomfield and Montclair the con
sumption per mile of main pipe is about
one-hfth that of Newark, and in Summit
Il IS more han one-sixth. For that rea-
q E we avg -hlffATnnf 20 ac f1rA 1~-L
suburbs. in order to equalize the cost
OF distribution. AS soon as our plant IS
perfected and we find the company in a
condition to increase its output and in
cldentally its revenues, we will be in a po-
sition to and will reduce the price of gas
TO as low a figure as possible
Other inducements are to be made IN
the public said he, sto the end that gas
will be used more largely. For Instance
nothing is to be charged for attaching the
service. By service is meant the pipe con
meeting the street mains with the house.
Under present arrangements the com
pany charges the consumers for the pipe
from the curb line to the house. The plan
proposed is to place the pipe to the length
of thirty feet without cost to the custom
err Anything in excess OF thirty feet, how
ever, will be charged for on the excess'o
The reduction in the prices of gas is the
direct result of the consolidation of the
Newark Gas Company with the Montciair
Gas and Water Company and the Summit
Company. BY the Iessenings in the
prices the Consolidated Gas COMPANIES
revenue from Montclair is lower BY fifty
cents per thousand than the income for /
merry derived from the Montclair con-
sumers, and twenty-five cents per thou |
sand lower than that which accrued from |
the consumers of Sumlnit. The conclu-
sion is that to keep the income of the
up to its expenses, the Newark |
consumers are greatly overcharged. |
The immense amount of interest to be
paid on the bonds of the Consolidated |
Gas Company eats up a large amount of |
its income.
A careful review of the situation prior |
the consolidation was made this MORN
ing by a citizen conversant with the gas
in this city. It was in substance
follows
The stock of the Montclaif Gas and Wa
ter Company wa originally capitalized at
Sl37 500, and the stock of the company was |
held in trust last summer by Eugene Van |
of this city. 1t was at that time
Philip N. Jackson was negotiating |
gas stock to buy in a large amount OF
It for the syndicate, which later effected
the stock to Mr.. Jackson at the rate Of
$50, which made the aggregate price for
the Montclair gas concern S343, $50.
The capitalization of the Summit Gas
Company was Sill, 600, and his COM
a was also held in trust by Mr.. VAN
who sold it to Mr.. Jackson at 125
per cent, making S13S, $50 as the price for
the whole. When the gas consolidation
was put through recently the stock Of
these companies. which in the ag-
create had been sold six months before
fore less than S4S5, 900, brought 81. 600, 900 in
5onds of the Consolidated Gas Company,
within a comparatively small amount |
of 81. 600, 600 in stock. The stock transfer
Is said to have lacked only $500 of that