The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1920-09-24
WOULD BOOST
UTILITY RATES
RRiurns Now Allowed Here Alb
surdly Lew, Says City
Club Group,

The rate Of return now being al
lowed public utilities IA the District
Is absardiy lew, aeeOrdius 10 the cen
census OF opinion Of mesabers of the
Public gtilities Group OF the City
Club, who discussed the matter infor-
mally at a meeting Of the group last
night at the clubhouse, Farrasut
Square
1.-THE Public utilities Commission at
present apparently believes 7 per cent
lis the niost liberal return that should
be allowed the utilities" said Francis
r. Wellen a chairman OF the group,
land some Of the utilities are not
even given rates high enough TO net
such rate OF returh
UNABLE TO EXPAND.
~Wlth such low rate II is alb
sslutely impossible fer utiiltiee to
maintain their credit and expand so
as to meet growing demands on the
part of the public IL the members OF
the Commission were experts on util-
ity questions, IL they had a thorough
knowledge Of utility problems, she
utilities would net be treated so mig
gardly
THE unfair trestm snt of the utiii-
ties is a powerful argument for the
complete separation OF the commits
sion from the Beard OF District Gem
missionsrs The Commissioners-one
army engineer, one broker. and enc
lady-are net specially qualified TO
deal with complex utility matters,
which require technical knowledge
and an iRtiasate acquaintance with
utility probieaas. Besides, the Com
missioners are so occupied with rou-
tine administrative matters that
they haven't the time to devote to
thorough study Of utility questions"
A COMMITTEE was appointed by the
group to Investigate the advisability
OF advocating complete separation OF
the Public Utilities Commission from
the Board Of District Commissioners
and to report to the next meeting of
the group The committee Is COM
posed Of II. "a, Piankinton. chairman;
E e Williamson. w, A. Mellen, G. c.
Ober, and l. H Warner,
Most Of the members felt that at
least s per cent should be regarded as
fair return fer utilities and some
declared that even such a rate would
be too low for utilities that were en-
gagged In expanding their properties
and equipment, In view of the high
costs andshieh Interest rates.
HOPPER HEADS GROUP.
T. B, Hopper, OF the Washington
Gas Light Company, was elected per-
manent secretary Of the group.
Mr.. Weller appointed the following
committee ohAirmeus ID. II, William
son, gas oommittsss w. A. Mellsn.
electric light and power committee;
II. II. Ellis, street railways; Edward
A. Beard. steam railways: H Carroll,
ta1icabs, express, and baggage: and
H. B, PiAnkinton. telephone and tele-
graph.
Il, Il. Williamson, vice chairman Of
the group, was appointed = committee
OF one to make u special study of a
novel scheme for possibly reducing
the gas rate for the District. Mr.. Will
Hanson said that unless some new
solution were found at once the gas
rate here soon would have to be raised
to s1.35 a 1000 cubic feet. or even
higher-possibly $40 or $150-to
give a fairly decent return to inves-
tors. He pointed out that with the
present s126 rate the company Is
making just about 8 per cent, when
the Public Utilities Commission itself
feels that 7 per cent more nearly ap-
proximstes a fair return at present.