The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1934-02-10
NEWSPAPERS OPINION
COOPERATION IN TENNESSEE VALLEY

Under the aegis of the Federal Government the
Tennessee Valley Authority is trying to develop
vast inland empire to provide employment now and
a new type home for agriculture and industry in
the future. To its sponsors the plan has touch
of the romance of covered wagon" days but the
perils of the enterprise symboliZed by poig-
nant dollar sign instead of by the arrow and toma-
hawk.
With the creation of the IVA, the nose of the
camel Of government ownership was thrust under
the private utility tent As large taxpayers, the
privately owned and state-regulated utility
panies were and still alarmed at the colossal
sums required to build up untaxed and uncodifed
competing power facilities in this and other great
river basins of North America. The utilities have
pointed out that a heavy surplus in generating
and line capacity has existed in such areas.
President Roosevelt, however, has repeatedly
stressed the Importance of setting up yardstcks
for comparing public and private power systems as
a permanent governmental policy Many Difficult
ties are associated with such work. To compare
accurately and significantly the service, costs and
efficiency of even two small electric systems sup
plying cities of similar size and industrial charac-
teristics is delicate task even for the expert
enced engineer. How much more complex is the
problem of balancing the performance of vast
.governmentally system against that of a cor
respondingly extensive private enterprise with its
taxation handicaps and more restricted credit The
value of great public ownership developments as
vardsticks is yet to be clearly demonstrated, and
this makes it all the more imperative that cost
analysis shall guide the governmental authorities
at every step of their programs.
In spite of the mistakes and worse of some pr-
vate utilities it is not credible that the American
people wish to MAIN or destroy the life saving,
of thousands of small and larger investors in the
| existing power system through cutthroat and tax
subsidized government competition. The New
Deal should be Square Deal for power proper
ties no less than for the laboring man and the
farmer. Obviously, the utilities must do their part
| under the new dispensation, and fortunately CO.
operation rather than strife is Frightening the OUT
look in the Tennessee Valley.
Reject negotiations between the IVA and utili-
ties in Mississippi, Alabama and Tennessee recog-
nize the right of operating properties to live. CON-
petition through paralal facilities is eliminated or
sharply curbed; the IVA gives assurance that it
will aid in municipal acquisition of certain distri-
button systems at fair prices; and interchange
power agreements have been made for the eco
nomical of Muscle Shoals and private utility
power in this region. The right of the IVA to die
tate the resale price of power to the consumer has
been relinquished, leaving this with the commits
siOns where it logically belongs.
The salvation of the IVA, of other regional
developments in power supply and of local utilities
depends upon developing markets for service COM
mensurate with the power facilities available.
None afford to become 'power poor" through
impetuous and ill-considered expansion based on
unsound analyses of how much current a region
can really use. Economic need and not political
expediency should guide the power policies of the
American people.-Christan Science Monitor.