Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1915-10-18
OPPOSES GIVING
FREE POWER SITE
ON Hawaii RIVER
Continued rrurn page one,

with presented for your consideration
by the Governor.
The physical data Is Unavoidably
less definite than is desirable, but the
memorandum Is aimed to be protect
| i've, In any event. of the governn. nt's
! interests, which are for . period OF
| 10 years to Je licensed, for 81 per
year, to aid the Hilo Traction Compa-
ny, Limited, in establishing and ope-
rating its transportation system and
contributing to its capital or credit
such excess income as may be; deriv-
| ed, above its own power needs, from
power to be sold as indicated.
All this that the Territory after 10
years and for the subsequent 20 yeare,
and constructiVely thereafter. may re-
ceive the full power value OF the wa,
ter under consideration.
Copy Of Letter to Single.
Honolulu. T. H.. October Is, 1915.
R. w. Single, Esq,
President, Hilos Traction Company,
Honolulu, T. II.
Dear Sir: The Administration Is
prepared to recommend to the Land
| Commissioner and the Land Board
that the rights Of the government In
the waters of the Waikiki river In
South Hilo District, Island Of Hawaii,
az existing between the approximate
| elevation Of 500 to $50 feet sole in
takes and Approximate 4I0-foot above
sea level sole discharge shall be leas'
ed to the Hilo Traction Company,
Limited, or their successors, for the
term of 80 years, II being stipulated
the water in question shall be taken
for power and lighting purposes only,
or both, and shall be returned to the
river, unpolluted, at the point of dis
charge named. l. - "S>s>', =. ~.
The license shall cover a period Of
80 years.
For the first ten years the Hilo
Traction Company, Limited, shall pay
the government 81 per year!
To whomsoeVer Is concerned II
shall pay s per cent per annum, pay
able semi-annually, on the cost OF the
power and electric generating plant.
The electric current shall be delivered
to the transmission line, or lines at
the generating plant.
Current To BE Metered.
All current delivered to the Hilo
Traction Company. Limited. shall be
metered at the generating plant and
all other current sold or otherwise de-
livered shall be separately metered at
the same point.
There shall be set aside q sinking
fund annually equivalent to the an
ruaI requirements of such fund as
may discharge the cost of the power
and electric generating plant at the
end Of 30 years on the basis OF per
cent interest per annum on sinking
funds.
After the first ten years as speci.
fled there shall be paid to the Terri
torial government, semiannually, the
income derived from the electric cur
rent as metered and delivered on said
transmission line or lines based on
the cost of said electric current per
kiIowatt when generated by power
other than water power.
The cost Of So generating shall be
determined by the cost Of electric cur.
rent within the Territory or Hawaii
produced by a prime mover other than
water power, due consideration being
given to the decreasing factor In the
cost of a larger production Of electric
current as against a smaller produc-
ton.
The cost Of the electric current
shall be determined every tive years,
or oftener should equity so require.
by board of three appraisers appoint
ed by the Governor.
Open to Inspection.
Inspection Of meters and records
shall always be open to the inspection
Of the government.
The construction of at least one
such plant and pipe line of perma-
nent nature with all modern equip
ment for the generation Of electric
current Of at least $50 kflowatts ca
pacity-either continuous or alternat-
ing current or both as the licensee
may determine-shall be begun by the
licensee within two years from the
date of this indenture. and be diligent'
ly proceeded with until completed,
provided that IL there shall be any
period during which such work shall
be suspended by reason of actions,
suits or injunctions, instituted in good
of the licensee impeding or delaying
construction, the time so lost shall
not be counted as part of the time
within which such construction shall
be begun and completed. In case Of
failure to begin the construction OF at
least one such plant and pipe line
within two years from the date Of this
indenture as in this section provided
this license and all rights, privileges
and authorities herein granted shall
upon the expiration of such time cease
and determine.
Very respectfully,
(Sgd.) L. e. P1NKHAM,
Governor Of Hawaii.
now leave the matter for the con-
sideration of the Land Board and
Land Commissioner.
Respectfully,
LrCITTS r PINKHAM