Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-07-13
Public Utilities Commission
Directs to Charge Eight In
stead of Ten Cents.
ANNOUNCES FINDINGS
IN VALUATION INQUIRY
Change Will Mean Saving of $685.
600 to $4oo, 900 to the People
Of Washington.


The price of electricity in the District
OF Columbia is to be reduced for the
ordinary consumer from 10 cents per
kilowatt hour to cents, being a re-
duction Of 20 per cent, by an order Of
the public utilities commission made
public today, of its findings in the val
uation and rates Of the properties Of
the Potomac Electric Power Company,
which is estimated will mean a saving Of
between $375,000 and 100000 for the
people Of the District.
The commission. by its order. also
reduces the minimum monthly charge
for electricity from 81 to IS cents,
being a reduction of 25 per cent The
present schedule of the power COM
pany. which does not permit of the
reduction to a lower rate until 100
hours have been consumed. is changed
to sixty hours. 1t is declared this
will enable the private consumers. and
particularly small stores. using more
than sixty hours Of electricity to avail
themselves of the rate of cents per
kilowatt hour after the first sixty hours
have been consumed.
There Is also a change made in
schedule of the company. by which
the kilowatt hour consumption 10
charged for at figures gradually re-
duced from those now in effect. Pub
lie lighting is also affected, and the
annual rates for street lights is re-
al ~
changes are to take effect August !
next
elimination Of Long Contest. =
The findings of the commission are the
culmination Of a contest began more
than three years ago. and which has
continued almost without intermission.
In the fail Of 1913 the washington Rail-
way and Electric Company declared an
extra. dividend A study Of its earnings
FHyS3hl pub1fc utilities commission dis
closed the fact that a large portion OF
dend 1t was receiving as the sole owner
of all of the stock Of the Potomac Electric
Power Company, and that the railroad
itself did not appear to pc earning from
The utilities commission thereupon or.
dered an investigation Of the relation OF
the two companies. and hearing was
conducted by Col. Chester Harding; tnsn
Syme. continuing through the greater
part Of November and December. 1913.
Following the hearing. the commission
made a lengthy report to Congress- IN
which 1t was recommended complete
separation Of the railway and power COM
panies. To this end bill was introduced
by Representative johnson, upon which
no action was ever taken.
Valuation Begun in 1914.
With Col Kutz. Engineer Commission
er as chairman. the utilities commits
uation of the public utilities of the
District of Columbia as a preliminary
to fixing rates. hearing on the val
uation of the properties of the Potomac
Electric Power Company was COM
mAnced in May Of last year and was
not concluded until last January.
In the meantime bill was intro
duced In Congress seeking to consol-
Electric Company and the Potomac
Electric Power Company. This BILL
which the public utilities commission
opposed, and was vigorously fought by
charged before the committee that it
was "simply a subterfuge to avoid the !
effect of the valuation by the commits
sion and the fixing of rates for cleo
was to defeat the efforts of the utili-
ties commission, and ito perpetuate
situation whereby the consumers Of
electric energy in the District of CO.
lumbia were being compelled to BUY
earned dividends of the Washington
Railway and Electric Company. The bill
was defeated in committee, and no
further attempt was made to enact It.
The hearing before the public utilities
was one OF the mos pro-
tracted and bitterly fought on both the
valuation and fixing of rates that has
ever taken place before the commis-
sion. Corporation Counsel Syme han
died the case for the commission. while
the mower company was represented by
some of the most eminent lawyers Of
the District Many experts, testified for
the power company, each of whom was
subjected to a searching and protracted
by Mr.. Syme.
The commission, on May 2, announced
it's valuation of the property OF the
power company. and on May II notfned
he company of hearing for the con-
sideration Of its rates. 1t was the claim
of the commission that the railway
company was not only not paying It's
part Of the operating expenses of the
Potomac Electric Power Company, in
,roportion to the amount OF current 1t
lsed but that 1t was getting this cur
.ent for over s250,000 per annum less
han cost. and that the power company
vas charging over $500.000 per annum
more than it should reasonably charge
q consumers of electric current in the
District.
Order of the Commission.
The order of the commission is as
'ollows:
THAT the maximum rate to be
charged by the Potomac Electric Power
Company for electricity furnished to
INV consumer shall not exceed cents
yer kilowatt hour
..That the minimum monthly charge
Il the respondent company for electric
ty shall be reduced from 81 to 15
ents.