The Bismarck Tribune Newspaper, May 8, 1930, Page 2

THE BISMARCK TRIBUNE, THURSDAY,. MAY 8, 1930 Says ¢ 95 Per Cent of N eles s Homes Should Have 5-Cent Electricity Soo Line Rainfall HIGH LOAD FACTOR IS URGED BY EXPERT AS CURRENT CHEAPENER Morris L. Cooke, Philadelphia, Says Power Industry Has Wonderful Vision CANADA HAS FOUND MEANS, Quaker City Even Has Cent Rate; When Consumption Other- wise Would Be Lowest Editor's Note: This is the first of four articles by Morris Llewel- lyn Cooke, noted Philadelphia public utilities expert, on electric rates for the home. Cooke di- rected Governor Pinchot’s giant power survey in 1921, the biggest thing of the kind ever attempted. | sas By MORRIS LLEWELLYN COOKE A mamixum rate of 5 cents a kilo- watt hour for domestic electric service should apply to about 95 per cent of American homes. Four cents would be a fair rate in most communities and in many in- VARY. noe RASVER THE NATION Here is a table showing some of the varying domestic electric light rates charged by privately-owned Utilities in certain cfties. The fig: ures are top rates (in cents) per kilowatt hour, and when not on a straight-line basis apply to from the first 10 to the first 200 kilo» watt hours consumed. Average do- mestic consumption is around 30 Kilowatt hours per month. Many electric companies allow prompt payment discounts, and some have en rates for cooking and heat- inj Birmingham . Dil The low te in this table is Los Angeles, which has a munic- Ipal light and. power. plant. com- peting with the privately-owned utility, stances even that would provide more than a fair margin of profit. These figures are based on an as- sumed average annual consumption of 500 kilowatt hours by each con- sumer. A kilowatt hour, 1,000 watt hours, is the unit used in measuring and selling electricity. A 25-watt incandescent bulb giving light equivalent to 20 or 25 candles uses 1-40 of a kilowatt hour if kept turned on for one hour. A kilowatt hour of electrical energy will such a lamp going for 40 hours. Itemizing the Costs Assuming an annual average use of 500 kilowatt hours for each consumer, the cost of generation for electricity will fall between .09 and 1.25 cents per kilowatt hour. This will be raised to between 1.4 and 2 cents a kilowatt hour by loss of current in distribu- tion and for load factor differences. The cost of handling the accounts of consumers will add pne-half cent and’ general costs which cannot be item- ized another half cent. Distribution costs can be placed no higher than 1.5 cents and that addition brings us to the inevitable conclusion that a fair cost per kilowatt hour for domestic consumers using 500 kilowatt hours annually will normally fall between 3.9 and 4.5 cents. Thus, a 5-cent rate obviously would provide an ample ; Margin of profit. The average rate for electricity used in homes in thé United States is about 7 cents. The average in the Canadian province of Ontario, where rapidly descending rates have greatly increased the use of electricity, is about 2 cents, Substantial reductions of domestic rates do not, necessarily cause any lowering of net revenues because they invaribly stimulete larger use. But, unfortunately, the guiding principle which has been followed in the fixing of electric rates has been and still is to charge for each class. of service what the traffic will bear. Great keep when elettricity rates begin to be gen- SIDE GLANCES - - By George Clark and oe ee NEXT: How electric rates in on OH, MRS:.COLE, © LOOK AT MY SNOWY CLOTHES. 11M WASHING A NEW WAY NOW easy aa -with neighbor “JSN'T it marvelous!. No scrubbing, no boiling—and look at this » gleaming white wash! “Yes, the whole secret is Rinso. Its thick suds soak out dirt like magic, That saves the clothes — and speses the hands, too. I use Rinso all by iteelf—no bar soaps, chips,aottenere.” technical improvements in electric Generation, together with a more di- versified and continuous demand, should before this have resulted in a great reduction fn domestic electric rates. High Rates Curtall Use Steinmetz said* that electricity ‘would some day be so cheap that it would not pay to meter it. Abund- ant use of.electricity should long ago ; have come into fashion, but electric} time virtually every household opera- portunities of which American farm companies, in general, have stifled its| tion will be performed by aid of elec- | Women can hardly dream. use in the home by failing to provide tric power and nearly everything Eventually we will be able to use the very cheap electricity which they electricity with as little thought to ‘are now in Position to furnish. which we eat, wear or use will have|¢o.¢ ‘we give now to the Figures published by the Electrical/been manufactured or transported wate Wo oil no longer carefully ‘World in ibat show that the operat-|py it, ' turn off the lights as we leave a ing expense of the electrical Share Universal and abundant use of|room; dark corners will be continu- per kilowatt hour in 1926 was 4.25|cheap electricity will have a tremend-|ally “illuminated and residential Per cent lower than four years before, | ous effect on American women. Farm |streets will wear an air of cheer. at and the tried rate of interest paid} women of Ontario have acquired the |night. on new loans more than 10 per cent whic! ~ begin fess than in 192; but the average leisure h Provides them with op-| That happy day will ~ dawn SHERWIN-WILLIAMS PAINT HEADQUARTERS “I whs getting awfully tired of my job before I saw the new summer fashions.” Cup for ‘cup, Ri as much suds TLLIONS USE _RINSO years before. ‘The industry has a wonderful vision before it in its opportunity to build up high load factors, which means the Percentage of use of facilities. Load factors are now igeneraly around 45 and 50 per cent. When a load factor is raised from 40 per cent to 80 per cent, for example, overhead costs are halved. Raising the Load Factor One significant method of raising the load factor is being introduced in Philadelphia, with establishment of a special 1-cent rate for night current: used between 10 p.m. and 7 a. m. This electricity is used to heat houses or water. The electric company, dur- ing these hours when the load is low- est, is glad to sell for 1 cent that which it produces for a half cent. More and more homes are being heated by electricity and when we} , can get properly low rates such use will be general. That is only one phase of the future of electricity. In Why it costs less to. paint your house with SWP: You can paint your house with SWP—the ‘spied best house paint—at a lower cost than with ch ‘int. The reason for this is obvious when you know 1 cts. SWP is made of the finest materials. The quality is ol doce ender We know. We've tested all kinds of paint. 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