The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1914-08-29
CITY PREP ARES
ITO STRANGLE:
RATE INCREASE
Bond Will File Answer and
General Denial of Light,
Heat and Power Firms Pc
titiOn to Commission.

Firm in his belief that the low rates
of the municipal light plant VIII stand
against the demands or the Llght,
Heat and Power company for an up
ward revision of schedules, City At
torney Bond will file an answer with
the public utilities commission IN gen.
eral denial of the charges OF the prl-
yate corporation that neither plant
can make money with the present
rates.
Mr.. Bond hints that unless the Light
Heat and Power company Will snow
the commission that 1T can brlng us
plant to a state of efficiency OF ser
vice that exists in the municipal plant
the city will enjoy monopoly OF elec-
trio light business.
There can only be one rate, and
that will be the lowest rate, declared
Mr. Bond today THE commission will
establish a rate based on a fair re-
turn made by the most efficient plant
It is ridiculous to imagine that any
body of men will force one business to
increase it's prices in order that its
competitors can continue to exist.
To Prove Efficiency.
IT am going before the commission
with loaded guns. If we do not get
the low rates we have petitioned for,
shall attempt to explode some OF the
theories Of the commission by abso-
lutely proving the city's efficiency and
capability of making fair return
with rates as low as they are or even
lower"
Mr.. Bond stated if necessary, the
city would employ an expert to assist
{Vl YVn oriy f<,V tnr 6
rates. The need of an expert would
be to bring out clearly certain points
in the argument which the officials
know exist but can not express be-
cause of limited electrical experience.
Mr.. Bond further states that the Light,
Heat and Power company since its
organization has always tried to force
rates upward. The competition fur
.nishedS by the city plant when it was
built and before it was more than an
experiment with the city, had the ten
ldency'to bring rates down IS per cent.
Since then another Is per cent de-
ICreasethas been made, with another 10
per cent decrease in power rates pc
'titioned for.
Fight inflated Values.
IF the commission takes up the in
vestigation, the fight will make will
be to prevent inflated valuation OF
property" Mr.. Bond said. THE saliva
ton Of the other company's fight will
be to force up the valuation of botf
plants. We shall fight to keep dowr
valuations.
1.-THE commission has shown that il
will not stand for high-salaried execu
tivss and bloated capitalization. Thi,
necessarily exists in the Light, Hea
and Power company. Such things will
not be tolerated merely that the com
pany can send a profit to New York.
1T is believed the commission will
build up in Richmond an imaginar,
plant. This can be accomplished il
taking side by side both the companies
operating here now. and canceling of
the similarities in the two companies
The rates will then be fixed from ;
model plant"
After filing his answer, Mr.. Bone
will cease his dealings with the com
mission, and while waiting for it
next move will prepare for fight, i
fight is necessary to prevent rate:
from going up.
President Bavis of the board O
works believes that the Light, Hea
and Power company's scheme is t.
,recoup for losses of it's plant sine
the establishment of the city plant.
Accounts for Loss.
when the city plant was construct
ed the Light, Heat and Power com
tpany tried to squeeze the life from i
by offering special rates and specia
Inducements at loss to itself to pre-
vent the city plant from gaining bust
ness" Mr.. BaviS declared.
1.-THE company enjoyed a monopol,
on artificial gas. 1t lost on eectricit,
in order to force out the muncipa
plant. These losses were recoupe,
on artificial gas. The company is nov
trying to separate the business of ga
and electricity into two departments
Now 1t is trying to recoup again in tn
electrical department the losses it sus
tained ten years ago and until nov
in trying to break the city plant
1--WE should fight to have the con
mission take over the whole bushes
of the company as a unit 1t coul
then show that the plant is recoupin
losses in electricity on it's gas AS
unit the whole company probably
showing a profit even with the 10,
rates of electricity. Let this conditIo
exist"
Officials of the Light, Heat and Pow
er company had 10 additional state
ments to make, The certificate of d,
post given thin by City Clerk Besche
yesterday when a copy of the petitio
was filed has been sent to the pu1
lie utilities commission. AS little d.
lay as possible is asked by the cor
pany in the investigation.
Favorite Remedy for Diarrhoea.