The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-12-16
HENR|CO COMP ANY
TO USE FRANCHISE
Preparing to Install Distribution
System for Sale OF
Current.
WHAT ORDINANCE REQUIRES
Legal Test May Come When
Joint Use OF Poles Is
Attempted.

Having won a long drawn out bat
tie OF more than a year, contested al
every point. for a franchise TO erect
poles and conduits 10 sell and distri-
butte electric current for lighting and
power purposes. IL is announced by OIL
hcials of the Richmond and Henrico
hallway Company that plans Will be
prepared at once for It's exercise.
Opponents Of the franchise have
charged that the application was q
I"sell-out scheme the applicants de-
String only 10 get paper rights. which
for its own protection, the old COM
pany would have TO buy. But II is an
nOunced that the new company pro-
poses to use the rights IT has secured
and actually to engage In the sale OF
light and power current.
Henry W Anderson. counsel for the
virginia Railway and Power Company
contending that such uses OF the
streets by public service corporations
subject TO control and reputation.
were natural monopOlies, predicted
that il the new company came INTO
for one or the other; hnal consoIida-
the field in good faith and erected IT'S
lines. that there would be short ana
sharp war of rates: recel'eFshiP
ton on the basis OF the Joint CAPT
tai o. the two companies and rates FOR
electric current hereafter fixed so as
TO pay a reasonable return on such
duplicate investment charge. The
Council did not accept this view. vot-
ing for competitive service, leaving II
no the future to demonstrate which
contender is correct.
How Legality May Be Tested.
The legality Of the franchise has
been questioned. and It may be made
the basis Of litigation. but that stage
has not vet been reached. The city
is satisfied as 10 It's legality, and
the grantee does not question II. tnat
point having been raised b. the op-
pos.tfon-the Virginia Railway ana
Power Company. Under the general
ordinances Of the city. where there =
a pole line in a street capable Of car
irving additional wires. any incoming
company must place It's wires there
on. the rental for the same 10 be fiXeu
pv arbitration The same rule appiies
70 couduits. where there are vacant
ducts the intent being 10 save
the city from unnecessary multlpn-
cation % overhead and underground
constructions. II IL stated by AZ
torneys that the Virginia Railway anu
por-er Comnauv could hardly contest
the validity of the new franchise un-
.u such time as the incoming COM
.panv should. apply for the use OF
some conduit. or begin TO string its
wires on some pole OF the old COM
many. Then. it Is said. Injunction
proceedings might follow. which
would bring souarely before some
court the validity OF the grant It
self
What Ordinance Requires.
Under the specific Rrms OF the
grant. the Richmond and Henrlco
icompany must within two months
rom last Saturday-the date of final
approval by the Mayor--file with the
COMMITTEE on streets an application
for the route which IL desires 10 cover
with its distributing plant. which
rou-e tne Committee on Streets may
alter. diminish or enlarge as II snaii
sea 81 The distribution system with
in such route shall be begun Wit"in
three months. and completed within
twelve months after Anal action oy
the Committee on streets After the
completion Of such initial route tne
t,ouncii may. by supplementary ord
nance aDpTONtu SHS >~~
ouire the grantee 10 sell and denver
electric current in other sections OF
the city not covered by the initial
route 70 whatever extent the Councii
may consider reasonable, whether
such extensions are considered profit
ale or not. In event OF any such or
dinance ordering an extension or the
initial route. the company must be-
gin its distribution system therein
within three months, and complete il
within six months. Failure or the
cornpauv to comply with such ordin-
ance ordering an extension does not
forfeit the franchise. as mas oeen
stated bur forfeits the right OF the
company to the use of that particular
street. and its general franchise 10
.use all the streets and alleys N the
CITY is thereafter limited by Its for-
feiture OF its rights on that parucu-
lar thoroughfare.
II is stated that the exercise OF the
,er, franchise will necessitate the lay
inc Of underground conduits In Broad
Main and other streets in the UNDER
rround district. the ducts In the ex-
ts,i,g conduits having about reach
ed their capacity