Evening star., 1938-10-28
UTILITIES TO SPEND
BILLION YEARLY
EXPAND OUTPUT
Dozen Firms Join Hands
With U. S. Government
in Defense Plans.
NEW ORDERS TO ADD
100000 KILOWATTS
Strategic War Material Centers
to Be Strengthened by
Heavy Investments.
BACKGROUND

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Realization that future uars uiH
require fullest mobilization of in
dustry and all instrumentaltties for
protecting ciuilian population and
keeping them at productive occupa-
t'ons led to Government surrey of
Nations poper facilities and the
degree to Which they are integrated.
Among findings ,0as fact that
actual shortage erists and that
many sections, including WASHING.
ton, haze been vulnerable throuoh
lack OF connection between local
and adjoining poUer systems.
BY the Associated Press.
A dozen big utility companies. ioin-
Ing hands with the Federal Govern
ment in its national defense program.
disclosed today they would spend
$4,000, 200, 900 in the next two wears
to expand the output of electric power.
This amount, said Floyd L. Carlisle
OF the Consolidated Edison, Co Of
New York, would virtually dc(lble pres.
eit Sucn expenditures.
AS the first step, the utilities an.
nounced definite commitments" for
enough factory orders to supply gen.
eratlng equipment capable of pro-
duclng 100000 kilowatts.
The commitments were given as a
part OF the administrations efforts tn
strengthen power facilities of the Ma.
tlons strategic war material manufac.
turing centers.
Power Survey Made.
announcement of the prc>,lam came
from a session of the National De.
tense Power Committee, headed bv
Louis johnson, Assistant Secretary OF
War, which has been making a survey
OF power needs since early this year.
Mr.. Carlisle. acting as spokesman
Tor the group of utilities executives
which met with the Power Committee.
said "substantial' Government finarc.
ing was involved. but would not be in
the form of grants.
The Government, he said, would
do nothing more than lend money
or buy securities, in the same manner
as bank"
The utilities executives said the new
equipment for 100000 kilovatts of
generating capacity represented about
one and one-third million horsepower,
equivalent to the total power produced
by any two or three Middle Western
or Southeastern cities. New York
City's generating capacity, they es-
timated, is about 2,900, 900 horsepower.
"Not Final Step"
Stressing that the commitments
were not the final step" Secretary
johnson indicated the administra-
tion hoped other utilities would agree
shortly to enter the expansion pro-
gram.
The areas directly affected by the
projected construction are in part
those in which the production of mu-
nitionS and other war materials would
be in great demand in event of hos
tilities, War Department announce
ment said
Some of them were listed as Balti-
more-Washington. Birmingham, Bos-
ton. Bridgeport, Buffalo Niagara Falls,
Chicago, Cincinnati, Cleveland, De-
troit. New York, Philadelphia, Pitts
burgh, Rochester, ST. Louis and Scne-
nectady.
U. S. to Have First Call.
1T is understood that for war. or
other emergency purposes, the Govern
ment shall have first call upon the
facilities of the industry. both public
and private and that in peace time
they will be co-ordinated for the pur-
pose of making them quickly avail
able" the War Department said.
New private plants, when con-
structed, will be operated as a part
of the companies systems, replacing
older and less efficient plants, which
will be held for reserves and emer-
gencies."
Ofacials indicated their studies
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