The courier-index., 1917-11-09
WATER AND LIGHT
RATES ARE RAISED
INCREASED COST OF PRODUc-
TIoN FORCES LIGHT AND WAT
Err co. TO CHARGE MORE FOR
SERVICES RENDERED.

BEGINNING with bills made this
month, charges for water and light
service will be slightly increased to
absorb at least portion of the in
creased cost of production. This
action was decided upon at an ad-
iourned meeting of the city council
on Wednesday night when H. C.
Couch of Pine Bluff, president OF
the Arkansas Light & Power CO.,
held a conference with the city
authorities and submitted to them a
statement showing the revenues re-
ceived from the sale of electrical
energy and the increased cost of pro-
duction due primarily to the scarcity
and high price of fuel. The same
conditions that confront the light
company had to be reckoned with by
the city in determining how the
water works system is to be operated
without a deficit each month When
the present schedule of rates for
water and light was made effective
more than two years the cost of
coal delivered here was $2.35 a ton.
The same grade of coal now costs
$3.50 ton and it is difficult to se-
cure an adequate supply even at that
advanced figure. Two years ago the
fuel cost was twenty per cent of the
gross revenue. Now it is nearly
seventy per cent of the gross revenue
Eight tons of coal are consumed
each twenty-four hours in the opera
ton of the light and water plant
Each month 240 tons are consumed
This means a fuel cost of $1,320 a
month, or s15.54O a year, based upon
the present price. The average
monthly gross income from the sale
of electricity and water Is 1888.
Deducting from this the $1,32O
monthly coal bill. and only S5l3 is
left to pay all other operating ex-
penses, including salaries OF mana
ger, engineers. firemen, etc. This
means both the water and light
systems have been operated at loss
for several months. In order to keep
the plants going. according to state
ments made by Mr.. Couch and veri-
fled by his records, his company has
been forced to take profits made at
other plants where operating expen-
ses are lighter, due to the fact that
several towns are supplied from one
a portion of the surplus to Mariana
and other isolated places where the
company operates plants.
Members of the council agreed
that the service cannot now be fur
nished at the same rates that seemed
adequate two years ago. Viewing
the matter from this angle, they pass
ed an ordinance making an increase
OF one cent for the first one hundred
kilowatts.
The old rate was Is cents per
kilowatt for the first 20; IA cents for
the next 10: 13 cents for the next 5;
and then dropped one cent per kilo-
watt in blocks of five to so kilowatts.
The rate from so to 100 kilowatts
was cents per kilowatt.
Under the new rate made in the
ordinance passed Wednesday night
the charge will be 1e cents per kilo-
watt for the first 20; and Is cents
per kilowatt for the next 100 kilo-
watts. This increase in the rate will
!leid the company an increase of
sl3e a month toward the absorption
OF an increased coal cost of 1856.
ihe city made contract with the
ARKANSAS Light & Power Company
70 cont nue. pumping water until such
time as the city decides to formally
take over the water plant. II is
estmated II will cost about s700 to
operate the water system. while the
gross revenue from the sale of water.
based on the present rates, is about
sooo. With this condition facing the
city 1t was deemed imperative that
hn inc
enough to take care of the operating
expenses.
me old rates allowed 1000 for 81:
.ne next 5000 gallons were charged
ior at the rate of 25 cents per / 900:
ana the next $4,000 at rs cents per
thousand. The council by resolution,
ADOPTED the. rate in effect at Camden.
wnicn as as follows: 1000 gallons,
~, Tor the next 10000 gallons the
. .ate is 40 cents thousand; and for
s"e next $4,000 the rate is 80 cents
2 thousand. A request has been sent
camden to get the full schedule
nu "hen the information arrives the
apply.
:, AT the meeting OF the council on
iuesday night Mayor Dupuy appoint
~ committee composed of H. M.
yackson F. N. Burke. ID. l.. Griffis,
%. Daggett. Hugh Nixon and
ssuuge ) 4. Plummer to confer with
.h ar' Couch on proposition to sell
I"e electric lieht plant to the city,
conference was held in the direct
s room OF the Bank of Mariana
vn ~. wednesday afternoon. at which
~ oaihe Mr. Couch stated that in view
~ .ne tact that the city had decided
~ ret''n control OF the water plant
th e am his associates had decided
oi. oney would he willing to sell the
NY thN light rlant When asked at
rn ~nSt price and upon what terms he
hpnea ne wonl1 sell 1t for actual
pnyslcal valuation pms twenty per
VII VII TO- going value-the basis upon
Thrh Thich ms COMPANY bought the plant
a h,at'er was info~mally discussed
nu Wnlte the COMMITTEE car,n to no
honciuslon, ho II was apparent the mem
tas sers d'q rot think this a proptious