The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1919-06-20
One Corporation 10 That Much Rneao
In One Year by Getting Power
Here Instead Of Running
Its Own Plant.
EVIDENCE IN LAW SUIT
Ejoures Given In Hearing Before the
Special Master In St. Louis OF
Saving by Buying at
rqA
keokuk.

The larger they are, the more money
factories can save by Locating IL
Ikeofuk
Enough time has elapsed since the
keokuk water-power began operalhs
tc get some actual figures or savings
in power cost here at keoRuh.
That the United Railways company
saved it's stockholders $1,000, 00O III
1915 by purchasing it from heokuh
rather than generating its own power
for the operation OF cars was the
statement of w. e. Bryan, superlnteh-
dent of power stations for the con-
Tany. in testimony given before Spe-
ciaI Master Henry Lamm In the Johh
". Seaman receivership and account
ing proceedings. 40
Seaman alleged in his bill that the
water-power contract was maue
through an interlocking directorate OF
the United Railways and North Amer
lean. the parent corporation, ana ina.
the street railway company has peen
required to pay under the various con
tracts an excessively high rate TOT
hydro-electric power brought from
Keokuk to the Union Electric COM
pany which buy it much cheaper from
the Keokuk Power company.
Bryan's estimates followed the IN
PRODUCTION of several exhibits prepared
by him at the request of theodore
Rassieur, attorney for John l. beggs
and other defendant directors OF the
United Railways and North American
company, these purporting to snow
that the contracts for power saved the
street car company much money.
Saving Big Money.
Bryan's estimate of 100000 saving
in 1918 to the company by buying
rather than generating its own
mower was based upon the estimated
costs of charging the power plants,
adding modern facilities, added cost
OF labor, coal, etc.
He said the company produced IN
1905 through its power plants, ss,llo'-
40S kilowatts, at a cost OF rs cents
each. or a total OF S712,345.64.
The cost OF producing this amount
OF power in 1918, counting in the In
creased cost of labor, coal and other
things, Bryan said would have been
ST .63l. $685., or 1884 cents per klo-
watt hour.
His exhibit also showed the cost OF
pow er in 1903 under the then condi-
tons of generating 1t, plus the power
purchased, was s2,172,S0S.I4, as
against a cost in 1918 of s1.417, 00s.46
for hydro-eiectric and other power
purchased.
The saving in 1918 over the 1905
cost, the witness said, was sT55, 300 %.
keokuk Power Cheapest.
Rassieur then offered exhibits To
show the cost per hlowatt purchased
by the United Railways under its con-
tract, with the cost Of the power gem
Grated in its own plants to supple
nent that obtained by purchase.
These exhibits showed that the COM
Tany paid S1,732, 494.S2 for 142, 340,15S
ailowatt hours purchased in 1908.
cost of 1.22 cents per kilowatt hour;
that it generated 39,113, 403 kilowatt
hours at total cost of 81, 252, SITS
OF a cost of 126 cents kilowatt.
While the cost of power generated
by the company in Its own plants in
1909 was only log cents per kilowatt
IN 1916, 1t was 3.15 cents and in 1918
4.47 cents per kilowatt hour.
His tables for purchased power
showed a cost of ZOE cents per kilo-
watt hour in 1909, so cents in 1915
and LOT cents in 1918.
Steam Not In the Race.
The purchased power includes water
power furnished by Union Electric,