The Washington times., 1936-09-08

But at the same time the dele
gates were warned that caution be
exercised in the development pro
grams lest the world economic sys.
tenn be thrown out of adjustment
It was also pointed out that in
this vast expansion program care
must be exercised to prevent ex'
ploitation of the limited gas and
oil supply of the world.
An intensive promotional cam
paign, aimed at lowering rates
through increased consumption Of
electricity and paying higher wages
to the workmen in the industry
was urged on the delegates.
At the AFTERNOON session one
group took up discussion OF "Or-
ganization of Private Electric and
Gas Utilities"
Defends Holding Companies
Addressing this group, j. F.
Fogarty, president of the North
American Company, large utility
holding corporation, declared that
the aid of holding companies "has
been and is vital to the operation
Of utilities.
Pointing out that the number Of
electricity consumers in this coun-
try has increased from 1888 per
hundred of population in 1902 to
27.53 in 1880, he said:
"The holding companies were
instrumental in the development
of utilities in the early period
when capital was timid and diff
ficult to attract.
"The diverse ownership of the
holding companies assures keen
competition for the confidence
Of the investing public, while the
large amount of capital needed
in the utility field will prevent
that industry from ever falling
into the hands Of q single group"
Conduct of the holding compa-
MES was criticized, however, by
Judge Robert F. Healy, of the Sc
curities and Exchange CommiS-
sion, in another address.
Branding certain holding COM
panies as financial jugglers," !"
Judge Healy said:
"In the future the utilities
should devote themselves more
to the production and sale Of
gas and electricity and less to
the production and sale of Sc
curitieS,"
Citing the failures Of certain
utility companies, he added:
"The development Of utilities
represents a remarkable engi.
neering achievement, which con-
traSts unfavOrably from a flnan-
ella and corporate structure.
"The utilities must be freed
from manipulatOrS, and the
future of the industry depends
on proper rate regulation"
Meanwhile, in the Government
auditorium the main body of the
Third World Power Conference
was meeting.
Trends in developments and
utilization of power resources, or
ganization of private electric and
gas utilities, and organization Of
production, transportation an d
distribution of natural and manu-
factured gas were the subjects
discussed.
Experts in Discussions
Participating in the discussion
of power resources were Frederick
Brown of Great Britain, Enrique
D. Canepa and Mario A. Lava
relic Of Argentina, E. H. Etienne
and H. Zollikofer of Switzerland,
e. Hubert and B. MagaShazy of
Hungary, DR.. I. A. Menge and
DR.. I. G. Schult of Germany, E..
T. GeniSSieu of France and Har-
low S. Person of the Unite d
States. A paper prepared by the
bureau of mines of Belgium also
was presented.
On organization of private elec-
trio and gas utilities, discussions
were led by such authorities as I.
Bodocsi and DR.. E. Haidegger, of
Hungary; E DIN oud Roux, of
France; Ricardo Simpson, of
Chile; Robert Van Cauwen-
gerghe, of Belgium; w. B. Wood
house and Leslie F. Stemp, of
Great Britain; C. Krecke and I.
G. Seebauer, of Germany.
The United States was repre-
Sented by j. F.. Fogarty; Switzer-
land by w. Tobler, while papers
also were presented from China
and Bulgaria.
Taking part in the discussion of
organization, transportation and
distribution of natural and manu-
factured, gas were, among others,
DR.. G. w. Anderson and R. w.
Hunter, of Great Britain; Auguste
Baril, of France; H. La Sale, of
Belgium; G.. H. Huffman, of Swed-
en-; DR.. j. ITCHY, of Czechoslo-
vakia; A. BecSey, rs. de Galocsy
and B. JanoSki, of Hungary; DR..
Ing. E. H. Lenze and DR.. R. Nub-
ling, of Germany; P. Canepa and
Humberto F.. Morrone, of Argen-
tina. Papers from Holland and
Norway also were read.
United States representatives
Floyd L. Carlisle, chairman of the
board of the Consolidated Edison
Company Of New York, and
George Soule, editor of the New
Republic-argued, respectively, in
favor of development of utilities
by private industry, and in favor
of Government ownership and de-
Velopment.
During the afternoon sessions,