The star and Newark advertiser. [volume] (Newark, N.J.) 1908-1909, 1908-05-27
MUTUAL LIGHT CO.
GETS FRANCHISE
IN JERSEY CITY
Newark Corporation Will Fur
nish Electricity at Less Than
the Public Service Rate.
CITY TO GET 5 PER CENT.
OF ANNUAL GROSS RECEIPTS
Binds Itself for Twenty. Years
Not to Merge with SIM
liar Concern.

The Mutual Benefit Electric Light
and Power Company. a Newark con-
cern, organized by James NJ. Seymour
and Incorporated at Trenton on May 8.
has been given a twenty-year fran
chise, by a vote of "a to l, by the Board
of Aldermen of Jersey City. Alderman
Frank Cox, an employee of the Public
Service Corporation, was the one who
voted no. After the franchise was
granted representatives of the Ninth
Ward Improvement Association and
the Square Deal Democratic Club
thanked the aldermen in speeches for
giving the Newark company a fran
chise, SO it could compete with the
Public Service.
| The Newark company is requqired by
the ordinance and it's own offer to fur
nish electricity to all it's customers in
Jersey City at the maximum rate of
eight cents per kilowatt hour and give
5 per cent. discount on all bills paid
within five days of presentation. 1t also
promises to pay per cent of It's gross
receipts to the treasurer of Jersey City
every year. The company agrees to lay
at least two miles of pipes and con-
duits each year. and in case it fails to
perform any of the provisions of the
ordinance the rights and permissions
shall be voidable and all pipes and con-
duits laid in the streets shall become
the property of the city.
The Public Service charges ten cents
per kiowatt hour, an officer of the new
company said, and does not pay the
Lott
does not give a discount to all consum-
ers for prompt payment of bills.
James NJ. Seymour, for the Newark
Block Light Company, is president Of
the Mutual Benefit Electric Light and
Power Company anL controls a major
ity of the stock already issued. The
nominal capital stock is $2,5O0,O00, about
81, 300 has been paid in, and stock will
be sold at $100 per~share as the COM
pany needs money None of the stock
will be sold at less than par. John +.
Nagle, a wealthy resident of Jersey
City, is treasurer of the company
Richard S. CarricK of Jersey City, Sec
retary, and <hese officers and John F.
Boyle and Jean r. Blinck, of Jersey
City comprise the board of directors.
In printed circular sent to the Jer-
sey City aldermen and other city Off
cials, and distributed to the taxpayers
May 10 and afterward, the new cont
pany announced what it would do if
given franchise. Here are some of the
things it promised to do:
Company's Pledges.
"Public Service price for current ten
cents per kilowatt hour, no discount.
Mutual Benefit Electric Light and
Power Company's price eight cents,
per cent. discount for prompt pay
ment, or 7.60 cents net, which would
mean a saving to the consumers of
nearly $4,000 per year. In addition to
that, the Mutual Benefit Light and
Power Company agrees to give 5 per
cent of its gross receipts to the city
for the privilege of laying its wires
underground. AS soon as we are in
running order this sum will amount to
from $4,000 to $4,000 a year, which
will help to reduce the tax rate in
Jersey City.
1.-THE great advantages that will be
gained by ersey City and Hudson Coun-
ty if we are allowed to do business here,
will be the reduction in the cost of
light and a reduction in the cost of
power to every manufacturer using
electricity and we propose to sell
power so cheaply that it will not pay
anybody to run their own engine un-
less it is a very large one.
Jersey City viii be better and a
safer city to live in because we will
set the good example of putting all our
wires underground. The high voltage
overhead wires that are run in the city
at the present time are a constant
menace to everybody that walks under
them, for should they fall on you death
would be instantaneous. The price of
electricity is too high, and we can
bring it down because we can do an
honest business without the handicap
of great volumes of watered stock
Where electric lighting is down to a fair
basis it can compete successfully with
gas, and the day of dollar gas in Jer-
sey City will soon be past if we are al
lowed to sell electric current that is
made cheaply and sold at an honest
business profit
I'VE do not expect by our competition |
to injure the gas business or the cleo
trio light business, but we do expect |
to bring the price down to fair busi- |
ness proposition, and if there is to be
a rate war we are willing and anxious |
to take our chances with our competi- |
tors.y
1--WE, in consideration Of receiving a |
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