The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-05-15
PUBLIC SERVICE RULE
AND SMELLING PLANTS

II is sufficiently understood that the
conduct of custom smelling business,
serving precious metal districts of many
kinds, requires extensive ramifications
for the attainment of the necessary com
blnations OF ore. Not only is large cap
tal an essential but also the power TO
make and fulfill time contracts with ore
producers in many localities. smelling
of custom ores from the precious metal
districts is an industry peculiarly suited
10 The concentration of control in the
hands of only one or, at least. a small
number of competitors, In the case OF
most manufacturing enterprises the con-
troll OF the markets for the completed
products is the principal handle 10 the
trusts; added to which is the adyan-
tage OF immense capital by which 10 cf.
feet economies and the consequential
lowering of prices against which smaller
concerns cannot compete But IN smelt-
ing there is a further consideration,
namely. the severe competition for com
rbinatonS OF Orc of various types. with
out which smelter cannot operate at
all On the side Of the demand for raw
material. ore, there exists an additional
reason for the elimination Of competition.
In theory. at least 1T should be 10 The
interest OF ore producers that the neces-
sary smelling be done comparatively. and
sneter combine. whether VIC realize 1t
or not is in some measure an eXcmplifi-
cation OF the cooperative principle.
Such considerations as these doubtless
explain the action of the Colorado leSis-
lature in adopting a measure to submit
a constitutional amendment declaring
smelter owners to be public service cor
porations and giving the state the power
TO regulate treatment charges. The
measure will probably receive tho sig
nature of the governor and. Of course,
the constitutional amendment must ne
submitted 10 the people, 1t can be con-
ceived that a system OF state regulated
trea tment rates may prove satisfactory.
il the agencies established TO make the
determinations are governed by the
wisest motives and protected by sensi
BILE public opinion. But such a system
would be almost certain TO create sec
tional discord. which. If we may judge
by other political agitation and disturb
ance In Colorado. would give promise of
hazardous complications. The ores OF
Colorado are various. while for certain
ing ores from other states IL would be
interesting indeed to find injected into
political campaign the conflicting de-
mands of mining districts whose ores are
differently rated In the smelter offices
because of their rnetallursical differences.
If IL shall become a part OF the policy OF
the state to establish an agency to regu-
late treatment rates, let IL be remem-
bered that such an agency will bring en-
a catastrophe unless ii Is elevated above
politics and defended absolutely from sec
tional clamor.
No amendment To the state consttu
ton can force capitalists TO engage in
the smelling business; and therein lies
the danger OF the present proposal II
is a noteworthy fact that the American
Smelling g. Refining company. against
which the measure under discussion was
doubtless directed. took no steps, by
lobby or otherwise. 10 prevent the sub
mission of the amendment.-Mining