Evening star., 1921-06-09
UTILITIES MERGER
AIDED BY SENATE'S
GREAT FALLS VOTE
Combine Boosted by Favor
able Action Appropriating
for Water Project.
POWER AND LIGHT HELD
INSEPARABLE INTERESTS

Economies Declared to Demand
Union of Washington's Traction
and Electric Companies.
Nothing that has been done to pro-
mote a merger of Washington's trac-
ton and electric power interests has
established a more likely basis for
such action. it was suggested in on
cial circles today. than the Senate's
vote yesterday. appropriating $780,
600 with which to begin work on the
Great Falls power development
Should the House concur in the
Senate's action, the water power and
merger schemes will be inevitably
linked. 1t is believed by many per-
sons who have followed the develop
Their view is based on the fact that
the Tyler Great Falls plan. which the
Senate approved. contemplates an ar
under which the govern
ment would generate hydroelectric
power and deliver it to the hotel util-
tiles for distribution. The cost, ac-
cording to Maj. Tyler. would be less
Ihoh IhC pEcScHl COSl Oi ScuSEdSlu&
electric power in tfe District.
Economy Requires Merger.
1t is contended that under such an
the greatest economies
cannot be realized until the govern
ment has a single company operat-
ing the existing power plants and
the street car lines to deal with.
With the original saving that would
come through the cheaper cost of
generating power and the economies
that a merger would effect through
reduced overheads. a working out Of
the Great Falls and merger plans
as joint proposition would, it is be-
lieved. lead to a considerable reduc-
tion in streets car fares and electric
light and power rates.
Those who see a direct relation be-
tween these proposition do not be-
lieve that a merger alone will effect
but they are convinced that II
single company meets the city's light
and power needs and operates the
street cars with cheaper current fur
nished by the government the cost
of the entire service win be greatly
reduced. .-..7-
= The Tyler plan proposes the con-
struction Of dams at both Chain bridge
and Great Falls. but the latter de-
would not be required for
many years. The Chain bridge dam.
it is stated. would generate euficient
power generated in the existing steam
plants. operated as auxiliafies. to
meet Washington's needs for q con-
siderable period.
Would Bring Saving.
Maj. Tyler estimates the cost Of the
Chain bridge development at S13,60O.-
900. II operated in connection with
the existing public utilities steam sta
tions and distribution systems. he
would earn interest at per cent, pay
charges. return the in
vestment in thirty years and save an
nually 240.0 900 tons of coal.
1t is estimated that the cost Of gen.
Grating power at the proposed Chain
kilowatt hour. The cost to local util-
tiles of generating power, with coal
at $3.50 a ton, is given at ! cent a
kilowatt hour. With coal at 81
ton, the cost of generating power in
the steam plants is said to be 1.s
cents a kilowatt hour.
In a report to Congress fndorsing
the Tyler plan the board Of engineers
for rivers and harbors has stressed
the fact that the hydroelectric power
scheme should not be undertaken by
the government until the question Of
tied satisfactorily.
'To the requirement at reasonable
dgures of all needed property and
property rights as an indispensable
to the development of any
water project there should be Joined"
the board states. the further ad-
vance requirement of definite. le-
yally enforceable contract between the
public utility interests Of the District
and the licensee for the water power.
binding the former to receive and the
latter to deliver all available water
power that can be :ed in place of
steam power"
This suggestion by the board, it is
believed, insures ultimate considera-
ton of the Great Falls scheme in con-
,ection with the plans now before Con-
gress to force consolidation Of the
local public utility corporations.
Appropriation Surprise.
The action of the Senate yester-
day in appropriating for water power
as well as for increas.
ing the water supply Of the District
are treated in the Tyler report, but
the Army engineer recommended
action on the water supply mater
first. as it has an immediate bearing
on the health and safety of the cit
liens of the District. The Senate
the water supply provision in the
Army bill and its passage was an
The water-power item was
attached as a rideN during the course
Of debate on the bill in the Senate.
Maj. Tyler estimates that it will re-
quire three years to increase the
water supply by building an addi-
tional conduit and five years to con-
struct the proposed dam at Chain
bridge for power development pur-
poses. There is no direct relation be-
tween the projects which requires
them to be handled together.
Action Pleasfnx,
Army engineers and District citi-
Eens today lauded the action Of the
Senate in approving the water power
project as being step designed to
conserve natural resources and pro.
mote economy. It was the consensus
Of opinion. however, that If the House
should object to approving both prof.
ects at this time, the provision for in
creasing the city's water supply
should be retained in the Army bill.
since the Capital is depending upon an
obsolete supply main. which. Army
engineers say. may go out Of com
mission at any time.