The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-02-08
NEW ROAD ADMITS
RATES ARE FAIR

satisfactory. or that the general pub.
Tic was not satisfied AS to the offer
OIL the Henrlco company to start with
pase rate of s cents. and maintain
the same discounts, he held that there
was no guarantee that 1t would be
continued. or that II would bo extended
throughout the city. His company, he
SAID, could readily cut its rates III
inc neart OF the business section, were
1t not required to run lines mt Il loss
INTO the outlying sections. The line
10 F'uiton had never paid. he stated,
being long one, subject to leuknse.
and serving only small houses. with
few lights, which burn only for II
short time daily.
Cannot Force Competitions.
You cannot force continuance of
competition" said Mr.. Anderson.
There is no power to prevent our
nuSlng the other company or their
buying us out, or our merging, or
the formation of holding company
10 buy both. All you are doing is to
load the existing company. whoever
may own 1t, with an additional bur-
den of duplication of poles, wires
and conduits. which in The liking OF
future rates can only be Il burden on
the community. We are now offering
Tor sale S2,000,000 in bonds for i'm
proHements. and n franchise, whether
they use IL or not, might affect the
market for them. We spent 100000
IN improvements In Richmond last
year, and will spend more than $1,000
600 this year. We will erect here a
100000 powerhousc. and Il s25O.000
office building, thus adding to your
taxable values. The reCcircrship. with
which you are all familiar. could anu
should have been avoided 1t was the
direct result of the granting of fran
chisc after franchise. with the incv.-
table consultations and the piling up
of capital until the crash came. njur-
Ing the credit both OF the company
ana of the city.
Competition Has Failed.
We have tried competition and it
has failed, after q most destructive
and expensive warfare. Now you have
ample power to regulate and require
an adequate service at reasonable
rates. and there is no evidence here
that we are not giving both. Are you
iaton duplication OF system and u
destructive war, which tell you
frankly Will only end In consolidation
and higher rates To pay interest on
the added investment?
MIR. Meredith replied briefly that IL
was the old proposition--thc man who
had something and didn't want to give
it up. He argued that no one regretted
the granting of the Traction franchise.
which raised the standards Of street
car service in Richmond, and asserted
that the rates charged. while possibly
not unreasonable, were, after all
merely an effort to get the most out
of the business that the public would
stand.
We arc not new concern" argued
Mr.. Meredith. We got stuck on the
transfer settlement; YOU required us
to pay them for current when we have
ii ourselves. We are here and expect
to grow and to make our system prof.
table. All we ask is tie opportunity
HIS company did not put It's pu.es,
wires and conduits all over the city at
once. Didn't 1t grow? Why shouldn't
We start near our powcrhouse ana give
service to our ncighbors? we don't
expect Immediately to spread all over
the city. but at start we "ffcr a
rate beneficial to the smaller consumer,
who pays the maximum rate"
Kelley Asks Prompt Action.
MI Kelley called attention to the ex-
celient equipment of the road his COM
pany had built and asserted that the
men who had put money into that en-
terprisc were willing to back II fur
Their. believing IL would pay In the end.
Ills company merely asked a right to
sell It's surplus power-to cornpctc with
the company in the field In concluding,
he urged prompt report, whatever the
attitude of the committee.
The committee agreed to adjourn to
meet next week, when a test vote will
he taken on the question of granting
competing franchise at all; after that
If there is to be such a franchise the
committee will hear further argument
as 10 the terms on which II is TO be
granted.