Evening star., 1927-10-27
POWER INTERESTS
GRID FOR BATTLE
Utilities Body to Resist Any
Curb on Activities in
New Congress.
EY FREDERIC WILLIAM VILE.

b1 FREDERIC WILLIAM VILE.
Before many weeks are past. Wash
ington will be the scene of the fiercest
setto between the so-called power
combine" and Congress that the long
history Of monopoly" probably has
ever known. Both sides are girding for
battle.
The preparations of ProGressives
like Senator Norris. Republican, of
Nebra ska. and of former Gov. Clifford
Pinchot, Republican, of Pennsylvania.
TO attack the combine" have long
been announced. What the public is
not so generally aware of is the deter
mination of the power interests to de-
fend themselves to the last ditch. They
have already taken the field at Wash
ington to that end. Recent mergers
in power all over the country have un.
doubtedly given impetus TO the move
ment against which power capital is
making ready to stand.
Offices Are Here.
The power people Of the country re-
Gently leagued themselves for that
purpose into battling organiza ton
known as the Joint Committee of
National Utility Associations. The
principal headquarters is in New York
City, but, with the approach of the
congressional session, branch offices
have been established within the
shadow of the White House and the
Treasury. They are in charge of 10.
siah 7. NewcOmb Of the New York
bar, a lawyer specialist in public util-
ity matters and counsel Of the new
joint committee. The committees
chairman is George B. CorteIyou, one.
time secretary to President Mckinley,
later Secretary Of the Treasury, and
now president of the Consolidated Gas
Co. of New York.
The joint committee speaks for praC-
tically all the electric light. gas. water,
water-power, hydrO-electrical and cleo
, trical traction interests of the United
States. These interests. representing,
IN the aggregate. literally billions of
Collars of invested capital, have hither-
20 maintained associations devoted to
special lines. But the magnitude of
the threatened storm at Washington.
which is likely to be directed at
power" in general. caused the vari-
Gus organizations to coalesce in a sim
gle defensive body.
Expects Two Attacks.
The power combine" as it's assail-
ants term it, expects TO have to face
fire on two fronts. 1t believes that
Senator Norris and his friends. for
one thing, will make an intensive
drive for Government ownership of
power utilities, such as Norris has al
ways advocated for Muscle Shoals.
The renewed discussion of the Boulder
Dam project is sure to involve lot
of Government ownership agita-
ton, too.
In the second place. the power peo-
pie will be surprised if the Norris
group does not force a sweeping in
vestigation of the power combine
by a Joint committee of both Houses
of Congress.
Senator Norris is quoted as feeling
that the Federal Trade Commission,
which has been looking into power
monopoly" for the past year or two.
has never tackled the proposition in
hammer-and-tongs fashion. The Pro-
gressive forces assert that only a
congressional inquiry, as thorough
going as the Walsh probe of oil, can
Spokesman of power interests de.
clare that they have been subject
at Washington in recent years to
what they call political sharpshoot-
ing" They claim that defense
against such attack Is necessary TO
maintain the American tradition or
protecting and encouraging private
| Initiative" under which the countrys
prosperity has taken place. Power
| spokesmen also allege that the great
| water-power projects like Boulder
Dam. Muscle Shoals, the Columbia
River and the st. Lawrence. while
| "camoufiaged" as schemes for gen.
eral public welfare, are, in fact. the
opening wedges for putting the Gov
| ernment into the power business.
| This. power capitalists &C intend, is an
unwarranted invasion of the rights
of people who engage in the power
| industry for private Investment puF-
| poses.
Denies Power Trust.
In a recent statement en- behalf OF
the Joint committee OF National
Utility Associations. Mr.. Newcomb
said:
"The belief. somewhat prevalent,
| that there is in the United States
power trust or combine is the result
of a mental process that has become
all too common-waereby a convic-
| fion is formed through the simpie
method of thinking an opinion. The
Federal Trade Commission reported
last February that it found 20 trust
or combine in the power business.
The report followed an inquiry which
embraced the entire electric J. ght and
power industry of the country. The
investigation lasted two years lt
showed that light and power service
is performed by numerous indie
pendent concerns and Independent
groups, none of which controls
sufficient percentage of the output to
justify the charge that there is
trust or combine