Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-07-06
CENTRAL POWER PLANT
PLAN is DISCUSSED
Hearings Held, But Senate Subcom
mittee Has Reached
No Decision.

The construction OF q central power
plant in this city for the government at
a cost Of s1.35O.OOO has been the subject
Of hearings before the subcommittee on
the sundry. civil bill OF the Senate COM
mittee on appropriations. but the SUBJ
committee has not decided whether or
not 1t will recommend an amendment to
the appropriation bill authorizing the
project.
During the hearings c. A. McAlister
and N. s. Thompson OF the Treasury De-
partment and members Of the committee
which investigated the project and recon-
mended its adoption have urged the adj
vantages to the government to be OBJ
tanned from such plant.
Opposition to the proposal, however,
was voiced by the Potomac Electric
Power Company through E. 8. NARROW.
e. B. Burritt and other representatives.
tee, they argued that the project is not
a good business one. because the service
could be obtained more cheaply from the
private corporation.
1t is proposed that the power plant
should furnish power, heat and light to
the bureau Of engraving and printing
new and old building) the Department
of Agriculture buildings. the buildings
for the Departments of State, Justice and
Commerce and Labor. the Treasury De-
partment, the White House, the State,
War and Navy building and the Winder
building.
South Of Water Street.
The site suggested for the plant lies
south of Water street and Immediately
east of the northern approach to the
Long bridge. The land is the property
of the United States, but has been leased
by the District government for use by a
coal company. 1t is the site which the
Commissioners have chosen for the pro-
posed municipal asphalt plant
In investigating the project the COM
mittee of the Treasury Department took
into consideration the cost Of operating
the present individual power plants that
furnish light, heat and power to the build
ings to be connected with the central
plant. They place the annual saving to
the government, through the central
plant, at $116.l36 or about 9 per cent on
the investment
Viewed from a business standpoint,
the report Of the committee laid before
the subcommittee on appropriations
admits the project is not advantage
Gus "for the reason that Is per cent
of the investment would in that case
have to be figured on to cover interest,
depreciation, taxes, insurance and
dividends"
The report, however. adds:
LAS the difference between the annual
appropriations for the maintenance and
operation Of the isolated plants and the
amounts whic hwould need to the appro
priated for the maintenance and opera
ton OF the proposed central plant Is &C.
tualiy sl16, 1885, the project appears to be
desirable from q government standpoint,
as insurance and taxes do not have to be
provided for. and the cost OF repairs
would undoubtedly run lighter for the
new plant than for the individual build
ing plants.
Would Pay 2.1s Per Cent.
Allowing per cent for depreciation
ana interest, the investment would then
pay an annual dividend OF 2.1S per cent,
which would warrant erection Of the
plant from a business standpoint. even
setting aside the advantage Of the addi-
tional space to be gained by the removal
If old boilers and engines, ETC."