Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1913-05-27
BIG REDUCTION
MADE IN COST
OF ELECTRICITY

Continued from page onel
watts will apply until the total con-
sumption for the month shall eQnat
an average OF 1000 watts per 50-watt
lamp or equivalent, installed. For
current uset in excess of total con-
SUMPTION equal TO an average OF 1000
watts per month per 50-watt lamp. or
equivalent, Installed, a secondary rate
EFF cents per 1000 watts will apply.
Under this rating each consumer will
ray - cents for each 50-watt amp
installed, or its equivalent before the
Is cent secondary rate applies.
1t must be borne in mind in consid-
ering rates for electric current that
1t is not possible to store current in
the way that water or gas. for in
stance. may be stored and held ready
for use. The electric plant itself
must take the place of reservoir
and consequently plant able to meet
the total maximum demand must be
kept installed and ready for service.
For this reason chiefly the factor of
maximum demand is of paramount i'm
portance in any method of fixing
rates for electric current.
The minimum charge of 81 per
month has also been reduced to 81
per month. At the new rate this mini-
mum charge will cover use OF 5000
watts per month. which is as much
as many customers use.
AS stated above discount OF per
cent will be allowed on all bills, in
Guiding the minimum of 81 per month.
If paid on or before the 18th OF the
next month.
In presenting the new schedule of
rates to it's customers the Hawaiian
Electric Company deems 1t desirable
that the public be informed as to GER
tain reasons for the common practice
by electric companies of charging pri-
mary and secondary rates based upon
both demand and consumption instead
of upon consumption alone.
The public demands that the cleo
trio company shall have in reserve at
all times sufficient power to take care
of the demand which it may place
upon the company.
The greater part of the cost OF
supplying electric service arises from
the fixed charges on the investment,
and these are practically the same
whether. little or much electricity is
being used. Consequently when the
volume of business Is such that GER
tain fixed charges are secured per
lamp. the company is in position to-
sell its excess product at reduced
rate
The greater the demand a customer
makes upon the company, the greater
the investment, and the greater the
expense to the company in being in a.
position to supply his demand
Although the machinery necessary
to guarantee this continuous service
may be idle the. greater part of the
time, 1t is at all times available and
should be permitted to earn the
charges which accumulate against the
AS In any meter system, the con-
sumner pays only for the actual current
consumed, the total average of 2000
watts per month per 50-watt lamp in
stalled simply specifying the amount
of electricity to be used at the primary
rate of 1914 cents before the 6 cent
secondary rate applies.
Notice is also given that the mini
mum power rate has been reduced
from $1.00 per month per horsepower
installed to so cents per month per
land that 5 per cent
will hereafter be allowed on
all power bills up to and including
5000 kilowatts per month If payment
is made on or before the 18th of the
next month.
The company further desires to an
nounce, in view of the change in its
control and management, that the
reduction of Is 2-3 per cent in the
rates heretofore charged and the
establishment of per cent dis
count for prompt payment is made
as a first step in its policy of az
fording the public the best possible
service at as low rates as are prac-
ticable.