The Washington times., 1914-07-11
THE P. E. P cos ATTI-
TUDE.

the imDosslblllty, of getting effective
results through regulation of public
utility concerns, than is afforded in
tine towns experience with the Po-
tomac Electric Power Company.
That company is the heart of the
whole public service organization in
this town. 1t earns the dividends Of
the Washington Railway and Elec-
trio Company, whose huge fiotation
Ct watered stock is supported by the
excessive rates that the public has
to pay for lights.
All this is common knowledge.
The railway company owns all the
stock of the electric company. Con-
gress has passed legislation to dis
solve this relationship, but, Of
course, it will require time and liti-
cation to enforce it, if it can ever be
enforced at all.
The latest defiance of law and pub
lie opinion by this corporation has
just come to light through action be-
gun by the Public Utilities Commits
sion. Months ago that commission
very properly ordered that the prop
erty and records of this company
should be kept absolutely separate
from that of all other companies;
that its plant should be operated in
dependently, and its records so kept
that this Independent operation
should appear therefrom; that rec
ords should he kept showing the cost
of electric energy manufactured by
it and the price at which and to
whom it was sold. and that the COM
mission should be advised monthly
as to what these records disclose.
The Public Utilities Commission
was given the clear right under the
law to pass this order. The electric
company has seen fit utterly to ig-
more it. With utter Indifference to
its obligations as a public servant, it
has failed to comply with most rea-
sonsble requirement, and one which
was distinctly in the public interest.
The experience of the past had
led Congress to expect that this
would probably be the attitude Of
some of the corporations that have
so long enjoyed special privileges as
to feel that obedience to law is be-
meath their dignity. Congress there
fore placed a couple of paragraphs
in the public utilities law to cover
this situation. These paragraphs
give the commission the absolute
right to pass this order and to COM
pei compliance by indictment by
grand jury, if necessary. They like
wise give the District of Columbia
the right to collect from the recalci-
trant public servant, as penalty,
$500 for each and every day it dis
obeys the order.
The electric light company has
just been sued by the District for
$500, forfeitures accrued up to this
time. The statement of the general
counsel that they will be sued for
$4,000 at the end Of every month
hereafter until this order is COM
plieG with, sounds like business. If
the courts will see that these penal
ties take the shape of final and effec-
tive judgments enforceable against
the property of this company, it
surely will mean business.
The present court proceeding is
an entering wedge in the separation
of the electric light and street rail-
way interests. 1t will go in deep. 1t
leads to belief that the day is near
when consumers of electricity will
cease to pay the dividends on the
common stock, at least, of Wash
ington Railway and Electric.
When the Public Utilities Commits
oIOI SIdll IdNC dSSSI LdlHc'l lIOIIl Lnt
books of the electric company what
their electric energy costs, and with
what discrimination. if any, it is
distributed, and who are the bene-
ficiaries of its overcharges, a long
step in the right direction will have
been taken.
Before the snow flies again, the
property of this company will have
been valued by the commission. We
should rot be greatly surprised if
the year of grace 1914 sees the rates
of the electric company fixed by pub
lie authority at the lowest possible
figure which will give a fair return
on the cost to reproduce its plant.
All of these things are coming
and they are coming with TO tagging
step. The day is practically in sight
VIXEN the consumers Of electric en-
ergy in this District will have to pay
only for what they get.
DOINGIT ITHDISPATCH