The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1919-03-08
REPORT OF CITY
PLANT IS SENT
TO COMMISSION
Gross Income for 1918 Was
$7o,052, Statement of
Light Company Shows.

submitted Saturday to the State pub
lie service commission by Superin-
tendent j. p. Dillon.
Despite the high costs of fuel, labor,
and other materials which enter into
the production Of light and power. the
plant showed net earning of $3S,703
during the year. The gross income
for the year was SIS. 052, decrease Of
about $4,000 over the 1917 gross in
come of $S2,607.
This report MEANS" said Superin-
tendent Dillon, that we have prac-
ticed the most rigid economy during
1918 and have reached the highest
point Of efficiency possible with our
present equipment, especially In the
handling of coal and the production
of steam, which are always our big
cost factors
LiohtIess Nights Factor.
We saved everywhere 1t was pos
sible. Besides the high costs, other
factors which reduced our income were
the ltghtless nights and daylight saw
Ing movements, which cost us several
hundred dollars month while they
were In practice"
II am glad to say that prospects for
the next year are very good, especial
]y II We are able to go ahead with
cost-saving improvements l have in
mind. We have two or three factories
coming on and are also going to have
the business of the Pennsylvania rail
road
Among the improvements is me-
chanfcal device for carrying coal,
which with the new boilers now being
installed will help us to make still
greater saving next year than we made
In 1918. approximately 70 per cent of
our operating expense is in the hand
ling of coal. The public is invited to
come down and inspect the plant and
the work of putting in the new boilers,
just SO there is no getting in the
way of the work.
Plan New Equipment.
"A steam turbine is an addition to
the present plant we are also hoping
for. With the present equipment, we
have had at times maximum load or
10 per cent of our capacity, that is,
three-fourths the total possible output
has been asked of the plant during
rush. That is too much. The safety
limit is generally put at so per cent,
so that in case of a breakdown there
is force in reserve equal to the ut
most demand.
The total operating revenues for
1918 were $241, 607 against total of
s225,906 for the preceding year, and
the total operating expenses increased
from $144,66455 to $164,134.22 The
total surplus at the end of 1918 was
s454,166.35 as against $37S,72599 the
previous year.
Increased costs of production were
shown most clearly in the steam gen.
Grafton expenses, which grew from
$91.374.00 to 5,59S.94, an increase
of almost $4,000. OF the 1918 costs,
$S1,574 was spent for coal. Coal costs
In 1917 were $72,293.21.
Coal Costs More.
Coal bought in 1918 was of lower
grade and cost much more than the
1917 supply. Four dollars and fifty
three cents per ton for slack and mine
run was paid in 1918, whilc washed
nut, slack and mine run cost S403 the
year before. This inferior fuel supply
was reflected in the kilowatt hours
produced per pound, as it took 4,O55
pounds to produce kilowatt hour at
the switchboard in 1918. against 1857
pounds the year before.
Wages were another item which
showed an increase, the wages paid
in 1918 totaling s40,62S against $685.
1872 for 1917. This is in line with Su-
perintendent Dillon's policy of pay
ing comfortable wages, as he believes
In heightening efficiency in other ways
than by underpayment of labor
The total Of supplies and materials
IN hnv To-, 4
against $4,000 the year before. Coal
on hand for 1919 was over 5000 tons
against 2,69S tols last year.
Total Cost $617,so2
The total cost of plant and equip
ment is given in the report as s617,-
500 against S603.S70 last year. This
does not reflect the true value of the
plant as $4,000 worth of machinery
gotten from the Light, Heat and Power
company several years ago was never
set up on the books, and with the
$65,000 worth of new boilers now be-
ing installed. will make the real total
value about $S95,000 From this, how
ever, the old machinery sold should
be deducted. Dillon is now endeavor-
ing to have the public service commits
sion make new valuation which will
reflect these facts.
The assets of the plant increased
about 100000 during the year. from
100000 to about $4,000 The de-
probation reserve amounted to S73.-
EOS, against s54,617, and the sinking
fund account income increased from
$4,000 to $4,000.
The maximum output in kilowatt
hours for any one day was $3.50, on
December 81, 1918, and the minimum
was $500 hours on July 4. Thus the
load was more uniform than in 1917,
an important factor in the earning
power of any electric plant. The max
imum was 5000 and the minimum
was 10,450. The coal consumption
was slightly greater during 1918, due
to the poorer quality consumed
Revenue from the Liberty company,
which buys current to supply many
small towns south of Richmond, was
about $12,500 Rent of buildings and
lands increased from about $40 in 1917
to over $500 in 1918.