Arizona republican., 1916-05-10

ments from reliable engineers that it can now install a steam plant of sufficient capacity, added to it's steam plant to supply its consumers so that the it of power will not exceed 1.25 cents per kw hour. Under the new contract proposed the maximum amount to he furnished shall not ceed peak load of 25OO kw, and the following graded prices made:
 For all energy used in one caen-
 dar month up 100000 Kwh. .l5c per Kwh. For all energy used in caen-
 dar month over 100000 Kwh,
 and 100000 Kwh. l.2c per Kwh.
 For all energy used in one caen-
 dar month over 2OO,Oo0 Kwh.
 and over 100000 Kwh. lc per Kwh.
 For all energy used in caen-
 dar month 40O,OOO Kwh.
 and 600,OOO Kwh... sc per Kwh
 For all energy used in caen-
 dar month over 600OO0 Kwh... Sc per Kwh
 This would per month of the 600000 kw hours now used of lOS cents per kwh delivered at the transformers of the Pa cific Gas X Electric Company which should he added the estimated cost transforming and transposing the for distribution over its switch board making the estimated total it per kwh of l4S cents. If the figures furnished hy the engineers above referred to correct and believe them accurate would the II q 10 the Reclamation Service, the Water Users As sociation and the Pacific Gas & Electric Company Except to the price in of eOO.oOO kw per month. this figure believe should be raised Sc per kwh.
 The principal objection which has teen made to the old contract is that gave the Pacific Gas Electric Company the exclusive right to the sale Of power within the city of Phoenix, except to such consumers as could use blocks of power of zoo kw and which practically prohibited the Reclamation Service from selling any power in Phoenix except a very few large consumers Ijn- der the proposed contract the Reclamation Service has the right sell power in blocks Of less than 100 kw to any consumer. Although offset to this. the Pacific Gas & Electric Company is given the right cancel the new con tract should it desire do so on 90 days notice: and in case the Reclamation Service should desire to sell electrical energy in the city of Phoenix to he again sold or distributed which would allow of its selling power to municpaly owned plant or to privately owned plant in competition with the Pacific Gas X Electric Company the latter has right to cancel the contract on 90 days notice.
 We would suggest modification of this clause by which the reclamation service on the recom- mendston of the Water Users Association would be authorized under specific conditions to sell d- rect to new manufacturing industries in blocks Of less than 100 kw without giving the Pacific Gas Electric company the right to cancel the con- tract The insertion this clause we believe would foster new small, local manufacturing plants which should be encouraged and it might be to the public Interest that start they he furn- lshed power by the reclamation service at a very low figure to encourage the development of new To- cal industries
 One of the vital features -ofs the contract Is a clause in which the Pacific Gas Electric Com pany agrees to supply its consumers with electri- cal energy at rates not exceed those set forth in definite schedule. The company claims that the establishment of these will mean a reduc- ton to its consumers Of approximately ses 900 per year; and these are Of grea. local inter- est we publish in the following table the rates under the proposed new contact also the rates now existing:
 LIGHT RATES
 Present new rate Residence:
 Minimum monthly bill .........$l.00 $1.00 'oase rate '..................... 10 Kwh .O9 kwh 'ecohuafy hate ..-............ .e6 .06 !"
 The base rate to be charged on all current used