Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-11-15
New Canadian Canal May Delay
St. Lawrence Waterway Project

profit in this transactions was around
| $750,0
Shortly after Jones dropped out Sir
Herbert Holt came into the picture.
| Sir Herbert is reputed to be the richest
man in Canada. He Is the driving
force behind the Montreal Light. Heat
& Power Co. and its several allied in
terests and a powerful factor in the
growth of the Royal Bank of Canada.
Today it is understood that the Mont
real Light, Heat & Power Co. owns
12h per cent Of the Beauharnois Power
| Corporation.
Sir Herbert does not appear on the
BeauharnoiS directorate, but at least
8, possibly S, of the IL directors are
men closely associated with the various
Holt enterprises, who have been with
| Sir Herbert in numerous financial ven-
lures.
The chairman of the board of Beau
| harnoiS is Senator w. L. McDougald,
who has vast coal, transportation and
| gold-mining interests. Senator Nc
Montrea G Marbos e commission is
stanch Liberal. Most of his fellow
! directors are allied with the Conserva-
| tive party, so that the enterprise is well
protected on both political fronts. The
Canadian Bank of Commerce. the
Royal Bank of Canada and the Cana
dian National Railways are all repre-,
through interlocking directors. r. o.
Sweeney Is the president.
The corporation is capitalized at
! $30,000,000 in the form Of 80 year
per cent collateral trust sinking fund
bonds. The $30,000,000 capital pro-
vides only for the first stages of the
power and ship canals, the corporation
plans a further issue of $45. 5000, 900
first mortgage bonds, making the total
capitalization $75,000,0 900. This does
not include the cost of transmission
lines.
This financial structure supports not
only the Beauharnois Power Corpora
/ ton, but four subsidiaries-the Beau
harnois Light Heat & Power Co.,
Beauharnois Construction Co.. Beau-
harnois Transmission Co. and Beauhar- ..
nois Land Co.
Applications were made in 1928 to
the Quebec provincial government for
authority to divert sufficient water
from the st. Lawrence through the
canal to make the project economically
possible. Permission was granted, with
certain reservations. In March, 1929,
the Dominion government approved the
ship channel part of the plan ana on
August /, 1929, construction began.
In return for the privileges granted
Lie beduildILO4S OOI dBACCS W
pay the Province of Quebec water
rental which will amount to $4,000
annually by 1887 as well as royalty
OF 81 for every horsepower developed.
Plans must be approved by both do
minion and provincial governments, ana
works must not prejudice existing rights
of other power companies or the inter-
ests of navigation The only expense
to the dominion government In connec-
tfrrN With he a n6n &c a
of constructing the necessary two locks
at Beauharnois.
With the consent of the Quebec gov
eminent half of the total output may
be sold in Ontario, but no power can
be exported from Canada, directly or
indirectly.
Several unusual features combine to
make the Beauharnois development re-
markable for low cost and tremendous
resource Water level at Lake ST. Fran
els is 153 feet, at Lake st. Louis the
level is 70 feet a drop of 80 feet over
Is miles of the river. giving potential
development Of 100000 horsepower if
the entire flow Of the river is diverted
through the new canal, which Is the
ultimate aim.
Board Directs Work.
Farther west, in the international
rapids section, there is an equal poten-
tial power development, but 1t stretches
from just below Ogdensburg, N. Y,
eastward to the border, distance of
4S miles. The cost of canalizing this
stretch of the river would be greater In
the ratio of the longer distance, pre-
Stunning that the nature of the territory
to be excavated were the same as be-
tween Valleyheld and BeauharnoiS,
which it is not.
A board Of three consulting engineers,
one OF them an American, is in charge
of the work. In this group are Freder-
lex K. Brown of Montreal, an expert in
the hydroelectric field; DIR. T. II. Hogg,
chief engineer of the Ontario Hydro
electric Power Commission, and w. s.
Lee, an American engineer who has just
planned and built all the Duke plants.
The power house is designed to take
care of 10 SO, horsepower units, De-
livery Of 100000 horsepower Is promised
for October, 1892 Further units will
be added as the demand arises to bring
the plant TO 100000 horsepower as
rapidly as possible, while the ultimate
potential, as already stated, Is 1000, 900
horsepower.
Once the initial aim Of soc, 900 horse
power is reached, the ship canal COM
pleted and the necessary enlargement
OF the present Lachine Canal from Lake
St. Louis into Montreal carried out,
Canada will possess. all in her own ter
ritory, st. Lawrence deep waterway
giving occan-gcing steamships recess TO
Ontario as well Is great power nlapf.