The San Francisco call., 1907-02-24
BEGIN INVESTIGATION
To FIX LIGHT RATES
Supervisors Inquire Into
Operations of the Gas
Company
BIG LOSS SUSTAINED
Income Lessened, Owing to
Cut in Price and for
Other Causes

The Board Of Supervisors began its
annual investigation yesterday for the
purpose of fixing the rates TO be
charged for light. heat and power dur
ing the. next fiscal year. The session
was devoted entirely to the eXamina-
tion. Of John A. Britton. president Of
the san Francisco Gas and Electric
Company. who was questioned regard
ing the statement fled showing the
revenue and expenditure of the COM
psnv for the year 1906. showing that
its total revenue from all sources was
S3.e2s.ST0.90 and the expenditures were
s4.272.22L61, leaving 2 net deficit Of
Se42.256.G1. The company also paid out
dividends amounting to S22e.515.63. but
no information was elected as 10 how
how they were paid when the books
showed a loss. nor was Britton ques-
TONED on that point
The inquiry will determine whether
the board will re-enact the prevailing
rate Of IS cents per 1000 cubic feet of
gas or reduce the rate TO 75 cents.
Some Of the Supervisors seem TO favor
another cut in the price, but others
are Of the opinion that the IS cent rate
should stand in view OF the enormous
losses sustained by the company in
Tne ADTf disaster lie ndAAtI eill
probably be decided at the regular Sc
cret caucus Of the board tonight. The
schedule Of rates to be charged for
electricity probably will be left as they
are now.
INCOME Is LESS
Britton. in response to questions by
Chief Inouisitor Gallagher, said the
receipts for gas sales for 1906 were
s1.Ses.S24.O4, representing 2,l23.3ls,oo0
cubic feet. against $2.52S.9o5.Sl in 1905.
z reduction in income of S62e,OSl.ff.
This was due 10 the reduced rate and
diminished consumption Of gas, Britton
said
The cost Of gas in the holder Brit
ton fixed at 39.e cents per 1000 cubic
feet. for distribution 25.e cents and for
expenses of administration 3S.252 cents,
OF q total Of $I03752. Britton prom
ised 10 furnish detailed statements of
the cost of manufacturing and supply
ing gas at the next session and also as
10 the losses incurred by the company.
"The total loss sustained by the
entire plant was $4,000 oO0,' said Brit
ton we had some insurance. but
have failed to collect so or 90 per cent
Of il as yet We are not using the
Pacific Gas Improvement Company's
plant for manufacturing gas, our Po-
trero station being used for that pur-
pose. We are making all gas out of
oil by a new process. The original
cost Of the entire gas plant was s17,-
6O2513sI. of which Sls0.O0O represents
the cost of extending gas mains. We
sold electric current to the amount of
sL521.OsS19 in 1906, against s2055.-
s23.4s in 1908, q loss OF 1894 ,seo.2e.
The electric plant cost $3.50, ,577.Se."
Supervisor McGushin said that while
the company was entitled TO sympathy
for its great losses the people who had
-
siderstion when it came to fixing the
rate.
BILLS NOT REDUCED
Supervisor Lonergan thought 1t
singular that while the rate for gas
had been uniformly reduced in the
past ten years the bills of consumers
appeared TO experience no sensible
diminution.
Britton pleaded that gas meters were
honest mechanical devices and that
only about 10 per cent of them lied, of
which per cent lied against and only
per cent in favor of the company.
rs il not a fact" asked Lonergan,
etha4 air is forced through the pipes to
quicken the action Of the meter?"
Britton denied that such was the
case and Supervisor Mamlock explained
that the air-pumping process was used
10 increase the pressure in the outlying
districts where the mains were made
quates
Then Lenergan said something about
poor gas being supplied, when Gala
CHER remarked that the city gas In
spector had reported that the gas was
above the standard. both as TO candle
power and heat units. This was pre-
sumed TO be correct, as the company's
own testing apparatus was utilized.
that belonging TO the city having been
destroyed
Lonergan asked Britton if il would
not be fairer to do away with the
meters and to charge a fat rate for
each light, and the latter replied that
the company would go out of business
II the plan were followed. as the con-
sumers would not use proper economy.
The investigation will be resumed
next Tuesday at II a. m.
RETURNS TO MEET CHARGE