Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1933-09-21


that staunch old veteran, United
States Senator George w. Norris of
Nebraska, for his unrelentless
| fight against the power trust and
| his work in this field for the
public benefit and welfare.
Herewith is a news article by
| the Associated Press released
few days ago from Washington, d.
! c., which tells of the government
project and the rates they propose
| to charge municipalities for cur
rent in wholesale quantities and
| the retail rates to consumers,
| which is reprinted for the careful
| perusal and study of our readers:
The Tennessee valley authority an
nounced rates today for electricity
from the government-owned hydro
electric plant at Muscle shoals, set
ting an average cost of mills kilo-
watt hour for wholesale power to
municipalities owning distribution
systems.
David E. Lilienthal, director in
charge of power speaking for the IVA
proposed" retail rates to be charged
domestic consumers by municipal dis
tributors of government power, which
he said for fully electrified home
(which is our objective" also would
average mills a kilowatt hour.
1--WE propose" Lilienthal said, that
our municipal wholesale customers
charge a maximum gross rate of j
cents kilowatt hour for the first
block, and for subsequent blocks
cents, 1 cent and 4 mills. For the
typical general consumer this is ar
average of about 2 cents a kilCwatt
hour, and for the typical limited user
an average of about pa cents. For d
fully electrified home-which is oul
objective-the rate would average
mills per kilowatt hour.
Farm Rate to Be Same.
"The farm user, we propose, would
pay the same rate for energy as the
town and city householder. These
schedules, both for town and farm
carry with them requirement that
per month as a minimum"
These wholesale rates have beer
computed on a conservative basis tt
cover all the costs of furnishing the
service, including operation, mainte
nance, depreciation, and taxes F.;
statement issued by Lilienthal said
I'm addition to these costs, we have
made for interest and retirement, al
though such provision is not required
by the Tennessee valley authority act
The power project is designed to b.
strictly self-supporting and self-liqui
dating.
Sees Greatly Increased Use.
I'VE believe that these low rate
will mean that the people of the val
ley will greatly increase their use o
electricity-which is one of the OBJ
jectives of the president and Congress
If this occurs, even lower rates cal
be planned for the future.
Under the rate for domestic serv
ice, it is proposed that for the frs
so kilowatt hours which the house
|
kilowatt hour. If the consumer ha
an electric refrigerator and an cleo
trio range which together cOnsum
200 kilowatts, $50 of these kilOwat
hours per month he would get for
cents per kilowatt hour, and the re
naming so kilowatts at 1 cent. l
in addition to an electric refrigerato
and range the customer had an cleo
trio hot water heater, this service h,
could secure partly for 1 cent per xii
owatt hour, and partly 4 mills pc
kilowatt hour. All these services tn
consumer would receive for $3.50
month. Any>other appliances which
the customer installed, such as cleo
trical house heating or cooling, h
could operate at 4 mills per kilowat
hour"
An editorial comment from the
: Pioneer Press of st. Paul, which
followed the publication of the
Washington release in the daily
newspapers and which will in
terest the public, is also reprinted
!, herewith:
Tennessee Valley Electricity.
There will be reverberation
throughout the country to the new
that the Tennessee Valley Authorit
will sell electricity wholesale to nun
icipalities owning distributing system
for mills a kilowatt hour. And tn
announced maximum retail rate of
cents a kilowatt hour will be held u
for comparison to rates in cities an
towns throughout the country.
, 1t is the theory of the Valley Au
thority that low rates will so en-
courage consumption as to make pro
duction even at these figures profit
, able. If this proves to be the case
and this can by no means be taken TO
, granted, of course, the Muscle Shoal
project may have great effect o.
rates throughout the land. Privat
utilities must be prepared to hav
their schedules contrasted and com
pared with those of the government
, authority.
There still will be room for contro
, versy over the compatibility of plant