The people's voice., 1957-12-06


lumbia River Basin about 500 should
be economically feasible through the
use of 2fo money, but only 1870 is
feasible at sc money, and only "a %
through the use of private financing
Thus for any given power rate, and
| am assuming a limit of mills pei
kilowatt hour, the proportion of the
power potential which we can develop
is inversely proportioned to the in
terest rate. Low cost power depends
on low cost money.
The sixth factor which warrants
an optimistic view of the Columbia
River potential is the success of the
Bonneville Power Administration in
building one of the finest transmits
sion systems in the world and thereby
achieving many economies and ad-
vantages of power pooling. The Bon
neville Power Administration is a
great tribute to the ability of public
officials to operate a huge power
business with initiative and with close
attention to efficiency.
Seventhly we can see ahead of us
new future benefits or greater bene-
fits from dams built today. Hungry
Horse today is worth $4,000 XIV to
the region but when all the down
stream dams are finished. maybe 25
years from now, Hungry Horse will
be worth twice as much or 100000
XIV.
The federal government can build
dams today in contemplation of such
long range future benefits. 1t can
take the long range view where
private utility must necessarily be
concerned with getting out its COM
mon stock dividends every three
months. Only the federal government
can build a Hungry Horse Dam or a
Paradise or Libby or Hells Canyon
Dam. Here is proper role for our
national government because these
are permanent, long range public in
vestments.
An eighth factor is the benefit from
the gradual and historical initiation
which makes such permanent invest
ments more valuable with time.
A very important ninth considera-
tion is that when a dam becomes feas-
ible for power, there are offtimes
many incidental uses. Thus power
makes feasible much of the flood
control, navigation, irrigation, recre-
alton. wildlife and other conservation |
values which would otherwise be un-
economic. The multiple-purpose ap-
proach enable US to raise our hori- |
IONS.
This leads into my tenth justifica-
ton for expecting that we will some
day succeed in squeezing more bene-
fits out of the Columbia than the en-
gineers are allowing for today: in
direct benefits.
Our government agencies and our
Congress are extremely conservative.
They understate the benefits when
hey list only the direct, dollars-and
cents values or cash revenues and
cave out the equally valuable indirect
out more difficult to measure values.
direct benefits to be about as great
as direct benefits. AS a minimum
rule of thought | estimate that a
XIV of power development is worth
$1,000. If Montana can develop
it's 100000 XIV remaining poten-
tial, the new wealth should be on
the order of Sc billion. Again we
expand our horizons and we see
brighter and bigger future.
So far | have discussed the genera
ion and transmission aspect of the
Columbia River power system but }
ow / would like to turn to the most
aspect of all, and that is :. {
he retail end of the business for
this low cost power to
he people and industries of the re- |
ion. F
At point number eleven in our ex- d
anding horizon let me remind you a
f the growing benefits of industriali S
alton and new jobs, new investment Il
nd new tax base from new large in
ustrial plants which buy power di- U
sctly from the Bonneville Power Ad-
inistration.
Tens of thousands of new jobs, hum n
reds of millions of dollars of new p
-