The Ogden standard. [volume] (Ogden City, Utah) 1902-1910, 1909-11-01
.PINCHOT WRITES
ON WATER POWER

Washington. Oct. 91-The practice
of the government In granting water
power concessions. is outlined b.
Clifford Plnchos. U. s. forester In a
| letter written TO Col. Henry l., Hig-
Singson of Boston, Mass, a director
Of the General Electric company. The
latter takes the form of a public
statement and Is significant because
Of the widespread interest in the wat
or power question.
Mr.. Plnchot seeks to emphasize
particularly that he does not wish to
retard the development OF water pow
CT by private capital He makes
clear the point that the renewal OF Il
permit at the end OF so years is al
the option of the government; that II
Is, by statutes rcvocable by the sec
retary OF the interior. but unless re-
voked continues so years, when 1t
terminates without any special re-
vocation, but may then be renewed
at the option of, and on conditions
to be fixed by the government
The letter follows:
Dear sir: Your letter Oct II Is
received You will he glad to know
that ] have been misquoted as to the
statements you mention. First of all.
j have no desire to prevent or re-
tard the development of water DOW
ers. by private capital They should
be developed by private capital. In
my Judgment. In proper government
control and not by the nation or the
states"
Secondly. I have not said. either
privately or publicly, that the Gen
eral Electric company or any other
single existing corporation. controls
or Is seeking TO control, all the water
powers In the country But no one
can deny there is a marked tendency
toward practical concentration and
control of the hydro-electric develop
ment over Wide areas In some cases
this concentration may be nero
community OF interests evidence and
made effective by directorates in sew
eral legally distinct corporations
held by the representatives of the
same or friendly interests.
I'm other cases 1t was brought
about by a closer lnter-corporate rela-
trail California. there seems TO be IL
single corporate control OF large
and populous territory. The report
commissioner OF corporations. trans
mitted to congress with his message
of January 10. 1909 vetoing a bill
(H. R. 1909 TO license the building
of dam in James river. Mo. estnb-
lish ,the facts.
The increasing radius OF practical
electric transmission in the recent
financial history OF the country as to
consolidation of other kinds OF bust
ness seems to juaify the belief that
there is strong tendency to central
of hydro-eIectric development IL the
L. S. ! do not say single trust has
Yet been formed As an outsider. !
have not the information which would
warrant my saving that such trust
has been planned. but Il is apparent
the present tendencies favor such 4
trust and will produce il II they con-
tinue
~ therefore think IL is OF the ut
most Importance for the people TO
understand these tendencies. realize
their import ance and take effective
steps now while there Is yet time 10
retain and effectively exercise public
'ohNApl ~ illo Nlldl utNtGclAN VI hIN.
This may be done by giving conccs-
sions limited in time. requiring a fair
rental. and Imposing conditions TO pre-
vent the evils which experience has
taught us TO expect from unTegulated
monopoly ] am very glad indeed 10
have your statement that The u. S
should not part with this kind OF
property without fair lease That Is
precisely the position the forest ser
vice always has taken.
Il enclose a copy Of the form OF
permit (called a special use agree
menD now used by the forest service
In granting all water power concos-
sions in the national forests.
Il call your attention TO the fact
that this permit requires that con-
struction be begun and completed
within a reasonable time fixed in ac-
cordance with engineering conditions,
IL orG1' ~ prevent the speculative