Evening star., 1930-06-27
Diplomacy and Power Rates
Mingled in Sackett Incident

Discussion Of the cost Of electricity
and rates to the consumer has been in
itiated by the speech that was made by
Ambassador Frederic M. Sackett at Ber-
lin during the American hour" of the
World Power Conference. It Is agreed
that the matter would have attracted
little attention II Samuel insult had
that he knew of mo other manufac-
turing industry where the sale price of
the product to the great mass of con-
sumers Is Is times the actual cost of
production" The protest was made in
connection with the distribution of ad-
vance copies of the speech. Two issues
appear In the resulting criticisms.
Should an ambassador In q speech
abroad appear as q critic of an indus
try, even though he has been active as
a private citizen in that line of pro-
pose censorship of an envoy's speech
except through the State Department?
True, the diplomatic representative
of a great nation" according TO the
Kalamazoo Gazette, must guard his
speech with care. He cannot afford to
talk tmpulsively or to make statements
which are likely to give undue offense.
But If an ambassadors public utter
ances require any censorship, the State
Department is quite able to provide all
that is necessary. Surely q private cit
izen, however prominent or influential
he may be, need not feel called upon
to tell a public servant what and what
not 10 say"
Had insult confined himself to q
warning that the Ambassadors inten-
tions and words would be misinter-
preted," says the Springfield (MassO
Union, "he would have been right 1t
is doubtful If the Ambassador, who
knows the power business because for
merly connected with 1t, had any inA
tention of implying more than that the
costs of distribution were too high rel
further statement that the wide dis
crepancy between the cost of produc-
ton at the generating plant and the
cost of distribution in distant places of
business and residences gives q wide
field for the study Of the distribution
engineer indicates that the thought in
his mind was that further reduction of
the costs OF power must come mainly
through reduction In the actual costs of
distribution. Any other Interpretation
Of the Ambassadors intentions would
imply an ignorance Of what he was
talking about, and that Is hardly con-
ceivable. Were It true inference that
power companies are generally over
charging for distribution, 1t would fol-
low that municipal plants are doing the
same thing. for after making allow
ance for immunity from taxes and other
charges, there is little, If any, difference
between the costs of distribution under
municipal and private ownership"
The contention that ANY American
who takes exception to the official ac-
tions Of the diplomatic representatives
of the United States abroad Is at liberty
to take UP the matter with the State
Department" is upheld by the Detroit
Free Press, while the Memphis Com
mercial-Appeal offers the comment:
Ambassador Sackett may or may not
have been correct In his statement. He
may or may not have been politically
judicious IN making 1t. But neither OF
these things Is the question that will
interest the average American. That
question is--to whom must our diplo-
mats report?"
4 \
The incident is called peculiar" by
the South Bend Tribune on account of
plain why he presented himself as an
authority on American rates at q time
when good taste demanded that he re-
frain from discussion Of that subject in
g controversial manner" The Tribune
concludes that "he evidently over
stepped his authority in criticizing
power rates In this country" On the
other hand, the Charleston Evening
Post maintains that Mr.. Sackett spoke
with authority" as he was himself
formerly president Of gas and an
electric lighting system Ia Louisville
and Is stu large stockholder In these