Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1918-08-21
WEDNESDAY AFTERNOON. AUGUST II, 1918.
WATER " LEGISLATION

WATER POWER LEGISLATION
Engineers estimate that in the available water powe.
Of the United States We have some 100000. 900 horse
power, and of this we are using but e,ooo,o 900 horsepower.
The other 81 per cent is running to waste. Under no
conceivable conditions would all, or nearly all of this
power be used in the very near future, but If it were
not for conditions, which could be used by sensible legis-
lation we should now be using many millions more
horsepower of this water power than are being used
now. with a corresponding saving in coal and labor which
is required to mine and deliver coal: This would be Of.
vast benefit to the country just at this time, when both
fuel and labor are scarce and becoming scarcer.
The present situation is due largely to one Of those
swings of the pendulum from wild extravaganza to"
miserliness which sometimes characterize nations as well.
as individuals. We gave away our agricultural lands,
our forests, our coal, our metals, permitting these to pass
into the ownership Of private individuals without restric-
tons Of any kind. and all at once we awoke to the fact
that we were approaching the end Of our estate. There
remained most of the water power, and in a frenzy of
haste we locked that up. Without embarking on a line
Of enterprise not to our liking we could not develop the
power ourselves. We were determined that we would
give no more of it away. We would not sell it And we
hedged its rental about with such restrictions that no.
body else dare undertake the venture.
Efforts have been made at different times to enact
such legislation as would protect the nation fully in its
ownership and control Of water power properties while
at the same time making it possible for private capital
to undertake the necessary development work with some
prospect Of reaping a fair return. Thus far the proposed
legislation has fallen by the wayside. Now there is a
better prospect for its success than has ever before ex-
listed. Congress will be called on presently to take action
on a bill which has been drawn with the purpose, of
avoiding the snags upon which other bills have been
wrecked, and there is at least a fair prospect that it
may become a law. The following are some of the more
important provisions of the bill:
THE secretaries Of war, interior and agriculture are
to compose a commission to administer the law; water
power sites may be leased to private parties for fifty
years, with the privilege Of recapture by the government
any time after two years notice shall have been given
by the commission, upon repayment to the lessees. of the
amount of the net investment. Net investment, for the
purposes Of law, is deemed the original cost, plus addi-
tons and betterments, and minus depreciation, surplus
and amount set aside for amortization. Leasage cost is
to be fixed by agreement and it is required to be reason
able. The power sites are subject to a preliminary
license for not more than three years, to establish pri-
GRITTY in application. None Of the licenses are subject to
transfer except with the commissions approval
THE bill requires preference in licensing to be given
to states and municipalities when the commission finds
their plans are best adapted to conserve, develop and
utilize to the public interests. The charges for power
generated at the leased sites are to be regulated by the
state public service commission, if used entirely within
the state. and if the power is interstate in character,
authority to enforce fair rates is lodged with the federal
commission. Existing permits or rights-of-way are not
revoked by the new bill. but private parties possessing
such rights may seek reissue under the new law"
II this bill is passed development work will be under
taken in the very near future in many localities. That
large additions will be made to the available power be-
fore the close of the war is not TO be expected. But at
least an important step will have been taken toward the
checking Of an enormous waste. and toward the utinza-
ton OF a source of power which will mean much to the
nation in the reorganization Of our industries after the
war.