The Daily Alaska empire., 1946-10-05
NEWEST LIGHT GO. PRICE TAG IS I5$9oo,ooo
Council Objects 10 90 Days to Pay-LittIe Rate Re-
 du(tiOn Is Offered

ne AlaSka ElecIrlc LlSIll anu Power Company has dangled a plum in front of JuneauS City Council, in the form of an offer to sell all holdings, except mer- chandise, for $900O00. At the same time, the company is asking rate compromise that offers little change from what Juneau electric customers now are paying.
 The light company proposals, as briefly considered by the Council last night before being tabled pending clarification of couple of minor points, give the city an option until April 1, 1947, to buy out the company at the $9000O0 figure, which is to be paid on the line within 90 days after acceptance of the offer and approval by the voters. In return, the Council is to repeal Ordinance No 303, which was the dying act of the last ad- ministration, and which calls for considerably lower rates than those now proposed by the company AEL&P, in turn, will drop it's in junction proceeding now pending in the District Court seeking to re- strain enforcement of Ordinance 3O3.
 Big Price Drop
 The new asking price set by the company is considerable droE from the oringinal $l ,500,000 figure placed by the company last year It is also $100000 less than a pro posal to sell informally made early this summer.
 The company's rate compromise comedies reductions only in the winter lighting schedule Lighting charges from November 1 to May would he cents per kwh on the first 100 kwh used per month and A cents per kwh on all current in excess of 100 kwh. Rates now paid are 6 cents and cents in the same categories.
 All other rates-cooking and heat ing, water heating, street lighting and general power-would be left unchanged from those in effect the past 20 years. A concession would be made to the city in an entirely new rate schedule under which a straight 3i2 cents per kwh fwould be paid for all current usage at the Board Harbor.
 Mulli-.le4 4crs Retained Rates would be on a two seasor basis and would he multi-meter as at present. The proposal alsc provides that electricity would bt provided to non-lighting users al rates to be agreed upon between the individual user and the com pany.
 The light company would assume payment of the Territorial Veter' ans Tax upon all service. The new rates would go into use Novembel 1, l946
 i The AEL&P, in an accompanyins statement, declared the proposed new rates would save consumeri $l5,6C396. based upon last year, consumption, and would at tht same time reduce the company! net earnings approximately $23,00( on the basis of last years opera, ticns.
 No Council comment was forth coming on the rates proposed. Ob- l jection was taken to the 90-da, time limit for payment on pur chase of the company, by Council man Stan Grummett. Mayor Waint Hendrickson agreed that woult hardly be time enough to negotiate a bond issue and said he woulc seek extension of the pay-off tint 1 to six months The Mayor was tolt to go ahead with negotiations while action on the proposals va! held over.
 This latest light company offel came out of lengthy negotiation i informally conducted between tn, company and the Council earlie this year