East Oregonian : E.O. (Pendleton, OR) 1888-current, 1913-09-13

horsepower the lower the charge per
horsepower to be made on the part
OF the government. This is intended
to assure the fun use of the stream.
THE lower the rate to the con-
sumner the lower the charge on the
part of the government.
S-No charge whatever for a period
of five to 10 years, during which the
power company is finding its mar
ket.
acceptance as a public utility of
the states jurisdiction over intra-
state rates and service and of federal
jurisdiction over interstate rates and
service and of federal jurisdiction
over interstate rates and service.
absolute prohibition of combin-
alton and monopoly and the right or
revocation on the part of the govern
ment in the event that # is estab-
lished to the satisfaction of the secre-
tary of the interior, or the courts.
that such combination has been made.
or that prices have been fixed by
the agreement of competing compan-
les.
Mr.. Lane asked hydro-electric men
who had solid engineering and busi-
ness reputation to confer with him in
Washington as to practical working
details of his ideas. 1t was a most
Interesting group of men who gath
cred in Mr.. Lanes office.
Il want" said the secretary. crit
icisms and suggestions regarding the
water policy this department has de-
veloped. l want to know where it is
To your mind practical and where inn
practical. Mr.. Gorham, what do YOU
think of it?''
Mr. Secretary, I can say frankly
that my people are well pleased"
But how are we to arrange it,
insisted Mr.. Lane. $50 that the con-
sumner will surely get the benefit of
this? How. for example. can I pre-
vent your company. after it has full
filled the conditions l have made,
after it has developed the full capac-
ity of the stream ana has put a rea-
sonable price on the power-how can
keep you from selling it to your
selves. under the name of another or
ganziation as a distributing company,
at this very reasonable rate. and the,.
selling it to the consumer at an eX-
orbitant rate? You know that in the
Phoenix We pay a high rate. 1t is
not my point
Well" the water-power man
smiled. "Mr. Secretary, after we have
given the power at reasonable rate
to distributing company 1 don't see
what more you can do to us that will
not be confiscatory in its nature"
Mr. Lane looked at a lawyer who
was listening keenly. DO you get
what l want to avoid ?" asked the sec
rotary.
Yes" replied the lawyer, but il
seems to me that your public service
! commissions must attend to that de-
tail. Where there is no public serv-
/ ice commission the secretary of the
interior must be called upon to regu-
late"
THAT last is not a good idea"
said Mr.. Lane. You can't get men
to loan money for a development
company under conditions that are
| contingent at one mans judgment
/ we HluSl SliiludTulZe dS HluSI DIS pOS-
sible.'
But" suggested the lawyer, com
petition ought to regulate the price
to the consumer, particularly the sort
of competition provided for by this
policy"
mo government" returned the
secretary, attempts to regulate any
/ thing on the basis of competition. and
you can't raise money to swing a
proposition that is constantly oper
to regulation. We must have free
dom for the investor. the freedom OF
protected opportunity"
The water man from the northwest
who had been tanning himself anc
listening intently spoke for the firs
time.
NV idea" he said, "is that the
public uder this new policy will JUS
about do it's own regulating. Thi'
policy is going to force complete
openness on the part of the power.
producing company. 1t will have tC
keep a very careful account of the
per cent of possible horsepower it de
velops and of costs. These account!
will be open to inspection and th'
public can keep itself informed abou
them. Even if the producing company
makes itself the distributing com
] pany under another organization yoI
still have this entire publicity. fot
have forced, as far as accounting and