New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-10-01
REMOVING The
GAS BILLS STING
Public Service Corpora
lions Adopt Customer
Ownership Plan.

Some Of the large public service cor
porations have adopted the plan Of IN
ducing as many as possible of their Gus
toners 20 invest m the securities OF
the utility companies from which they
buy gas, electric light or other service.
One Of the principal objects sought to
be achieved by this movement is the
establishment Of better understand
ing and more friendly relations be-
tween the utility companies and the
citizens Of a community which they
serve. These relations in the past, 1t Is
admitted, have too frequently been
strained by controversies arising over
a difference between the public utility
company and its customers as to the
character of service rendered and the
rates that should be charged for 1t.
Customer ownership. it is said. would
result in naturalization of the utlli.
ties enterprises. 1T means says
William II. Hodge, of II. VI. Byllesby e.
Co., popular but not municipal owner
ship. It will give the customer a meas
ure of proprietorship in the service or
ganization and likewise a share of the
profits. 1t viii make the people finan-
cial partners in the service companies
and at the same time preserve the re-
sponsibilty, initiative and economy OF
private enterprise. It opens the door
in a friendly way to every citizen who
is able TO save a few dollars out Of his
earnings for investment, and makes
him a cooperating friend instead of a
suspicious. envious antagonist
May Humanize Corporation.
That the customer ownership idea in
,olves the danger of license for excess
sive profits or Indifferent service is rec
ognized by It's sponsors, but in this con-
nection Mr. Hodge says:
Il viii not permit corporation TO OBJ
tain undue favors from the legislative
bodies Of states and cities. Il will not
give a company political security unless II
keeps itself modern and efficient But
customer ownership viii establish friendly
connections with z large number OF cru
Gems and voters. vii! share with them the
earnings from the business, and viii so
modify destructive criticism as 20 approach
within reasonable distance of the equation
which means peace. prosperity and recog-
milton Of useful service well performed. 1t
Is in line with the broadening trend OF
economies as we understand them to-day.
IL provides n simple and workable means
TO preserve the needful equilibrium between
the producer and consumer; between a
natural and economical monopoly and the
people.
Customer ownership will humanize the
utility corporation and give the people n
true understanding Of corporate affairs. IL
will do the corporation just AS much good
a. IT does the public. and no more.
Some Practical Results.
The II. NJ Byllcsby & Co. organiza-
ton has been making a systematic ef-
fort 10 effect wide distribution OF
securities among the customers OF the
various utility companies which it con-
trolls and operates. The success OF
the Pacific Gas Light and Electric Com
rany in finding a market some time
ago for a large amount of its 6 per
cent preferred stock in California indl-
Gated, so the officials of the Byllesby
company thought, that in some parts Of
the country at least the public could
he persuaded to invest in the securl-
ties Of electric and gas companies
which were part and parcel of their own
communities. They determined, there
fore, 10 proceed with the plan in an
experimental way in the cities and
towns served by the Northern States
Power Company As Il result upward
OF AIS people in the territory served
By tina. company have purchased or
started to purchase approximately
1901 900 par value OF the preferred
stock. OF this number approximately
100 have bought the stock outright,
paying cash for il, and about 375 are
buying on partial payments. In add