Evening star., 1938-08-14
Coal Mines in Great Britain to
Be Put in Government Hands
$33OOOO,OO0 to Be Paid Rich Land Owners ir
Move to Solve Problem Involving
ROYALTY SYSTEM
Royalty System.

expected that the annual income from coal
and the sale Of leases to private companies
not only will amortize the loan, but pro-
vide fat surplus.
Payments will be made on the basis of
valuation as of January l, 1889.
A central valuation board will divide
Britain into coal regions for compensation
purposes and allot the f66,45o,ooo pool.
Regional boards will operate under the
central board to assess the valuation of
each holding. Ample provision has been
made for appeal in the event any indi-
vidual thinks he has been dealt with un-
fairly.
On July /, 1912. the Government will
assume ownership. fork over the cash. and
the great experiment will be actually in
being
While the State will have complete con-
troll over the industry through its Coal
Commission and the ultimate ownership
of the coal, it will not actually engage in
the business Of coal mining.
Under the new act private companies
will get all Of the coal out, but they will
hold their leases from the State and the
State will tell them how to operate for
the best interests of the whole industry.
As the Government explains it, the whole
idea is to give the industry every opportu-
nifty of organizing itself for efficient pro-
duction and the elimination of overlapping.
wasteful competition, uneconomic dump
ing and the further development of organ
lied marketing through central selling
schemes.
Compulsory Mergers Fought.
There was bitter fight to prohibit COM
pulsory consolidation Of small companies.
Many members of Parliament were pressed
by owners of plants to stave of the gov
ernment's desire to get uneconomic ind!-
vidual operations together under one man
agement and cut expenses.
As a result Of this fight, there will be no
compulsory amalgamations until 1910 and
Parliament must approve in each case.
When the commission proposes to force
companies together it must present the
case to the Board of Trade. which would
present the case to Parliament. If there is
approval there. the recommendations would
60 to the Railway and Canal Commission
for execution.
While the coal industry will be the prin-
cipal beneficiary if the law does what its
proponents expect it to. the public will get
it's reward in smooth-running industry
| which has been crippled for 20 years. The
man who pays the bills is assured Of pro-
lection by extension of the consumer pro-
visions of existing legislation which will
see that the quality holds up, that the
price is held down. Public hearings are
provided in every corner of the statute
where miners, royalty owners and the Gus
toner who buys so much as a sack of slack
can have his day in court and his COM
plant reviewed by high authority.
Throughout the long discussion over the
| law just passed and during the long years
| of coal troubles that lie behind it. British
| public opinion has been prepared for a
| drastic experiment such as this.
The majority may not know what it is
some call 1t nationalsm-some call 1t So
| cialism-some brand 1t unification. At least
there is general belief that it is an honest
effort to solve harassing problem. There
was general approval among the conservs-
tive and labor press of London when the
bill finally went down to Buckingham Pal
ace for the signature Of the King.