Evening star., 1955-05-12
THE PARTNERSHIP POLICY
Power Issue Proves
Political Powerhouse

Grating capacity of the Federal
plan. would accomplish every
thing that high-dam advocates
talk about-without costing the
Government dime.
Idaho Power says, too, that
the three dams can be built for
Sl33 million-leSs than a third
of the proposed Federal outlay.
And it promises that consumers
would get their power for less
than the national average" cost.
The administrations indirect
espousal of Idaho Powers pro-
posal has caused critics to ask
pointedly why the President is
willing to let private industry
have the Hells Canyon site but
wants to commit the Govern
ment to billion-dollar expendi-
ture in the Upper Colorado. They
point out that power can be pro-
duced at HellS Canyon for about
2.5 mills per kilowatt, while the
cost in the Upper Colorado will
range as high as 6 mills a
kilowatt. And the market for
the Government to sell the
power will be a poor one.
Administration Spokesmen ma
tionalize this apparent paradox
by explaining that the Colorado
Basin project, which the Senate
has approved and sent to the
House. is essentially for water
storage and irrigation, which |
are of prime interest to the
Government. The power phase !
is incidental, they say.
| Hells Canyon, to the contrary,
they contend, is largely a power
generating undertaking which
the President feels should be in
private hands.
Similar Situation
A situation akin to that in
the Upper Colorado prevails in
the proposed Frying Pan-Ar-
kansas River development on the
eastern slope of the Continental
Divide, the only other alfred
eral project Endorsed by the ad-
ministration.
There, too. power production
is rated of secondary Importance
to the control of the waterways
at which the Government aims.
While Hells Canyon is stirring
the biggest fight, a half dozen
other scraps are brewing on the
Westernmost reaches of the Co.
lumbia and its tributaries, where
private utilities want in on
partnership" deals. Public
power forces have been fighting
this war for years, and they now
are digging in against a new
assault.
One utilities group is trying
to cut in on the John Day dam
site in Oregon, located strate-
gically in the stretch of the Co.
lumbia which contains such big
Federal operations as McNary,
the Dalles and Bonneville.
John Day has been authorized
for Federal development, but the
administration has sought no
funds to start construction. Re-
publican sponsored legislation
has been introduced to de
authorize" the project so the
utilities can move in.
Democratic Loss
The Priest Rapids project in
Washington, also designed for
merly as a Federal undertaking,
was "de-authorized" last year, |
and Democrats in the Senate lost
their battle to have public agen-
/ cles get preference in buying the
power there when the generators
begin turning.
A Grant County power unit
wants the site.
When the e-authorization
legislation was passed, Senator
Morse, Democrat, of Oregon de-
nounced 1t as a stick of dyna-
mite" under the whole Federal
power program.
President Eisenhower has esti-
mated that the partnership pro-
gram contemplated right now
will cost the Government about
5000 million. He has said that
private investors will put some
$500 million into the half-dozen
projects, Of which John Day and
Priest Rapids are most important.
/ Under the Eisenhower plan the
Government also has given up oY
a Coosa River project in Ala
bama, turning it over to the Ala
bama Power Co., which spear
headed the fight against the IVA.
! Under the Administrations
policy, Federal power develop
ment is in dead-end street, but
the Democrats are operating on
such a narrow majority in Sen
ate and House that there is little
chance they can do anything
about it.
Whether the situation can, be
translated into an effective issue
in next years political campaign
is guess. Some Democrats are
convinced it can. Republicans
dissent.
-oPEN ToNlGH