AUGUST 13. 1951 THE GUARDIAN. CHARLOTTETOWN PAGE NINE 'liew was coiitlnued from page 1. straight line to the Canadian National Railway right - of - way. thence northwardly following the Canadian National Railway right- oi-ivay. to Sherwood Road. thence eostwardly along . the Sherwood Road to the Brackley Point Road, thence southwardly along the nraeltley Point Road to the St. Peter: Read, thence riorth-eaet- wardly along the St. Peters Road about sixty feet to the road lead- ing from the St. Peters Road to mconwaod Hospital, thence i4ol- lowing the said Road to Falcon- o.-ood Hospital. The full area of the Charlottetown Airport shell ilso be included. Domestic Service late Aiailability: The rate for do- iizestic service shall apply to all electric energy used by the cust- omer for domestic or b L '4 purposes, including lighting. heat- mg, cooking. refrigeration and wer for ordinary smeil house- , .old appliances. Service shall be rendered under; this rate through one meter to each individual household unit. i.e.. single family house, individual apartment, each unit of a multiple dwcllng, anti the like. Two or more household units shall not apply to hotels, public buildings. public boarding houses, rooming houses. institu- tional dormitories and the like. Minimum Charge: 82.00 per inoiltll, including the first 20 kilo- watt hours. Energy Charge: 3.0 cents .per kilowatt hour for the next 180 kilouatt hours per month; 2.0 cents per kilowatt hour for all wnsilnipiioti over 200 kilowatt. pei month. Domestic Water Heating Service Mllllmlim Charge: When electric water heating equipment is con- reeled in the same service and, supplied through the same meter as the domestic lighting service end when the simultaneous de- rnnnd of the elements of the elec- tric water heater does not exceed 1500 watts, the minimum for do- mesiic service shall apply. When the simultaneous " " exceeds I500 watts the minimum charge for domestic service shall be in- creased by s3.00 per month for each 1000 watt increase in the simultaneous demand and shall include 20 kilowatt hours for each 1000 watt. increase. General Service Eels Availability: This rate shall ap- ply to electric energy used by the customer for lighting, heating, and power purposes in all premises other than those covered by the Domestic Rate and Street Light- ing. Where service for lighting, heating and power can be meas- urcd throiigh a single meter and service will not be impaired by such grouping, single metering may be permitted by the Com- play. (A) Light, Heat and Power up to 3 Kiiowatte Connected Load. Minimum Charge: 82.50 per month per kilowatt of connected load lncludng the first 20 kilowatt gogrs per kilowatt. oi connected Ilmersy Charge: 2.0 cents per kilowatt hour for the next 130 kllovi ait hours per month per kilo- mail of connected load; 1.5 cents per kilowatt hour for all consump- tion over 200 kilowatt hours per :l0(liiiil per kilowatt of connected a . 13) Halli. Heat and Power over I lit! ts Connected Load. Minimum Charge: 33.00 per Ilonth per kilowatt of maximum demand including the first while. '"it hours per ,kilowatt of maxi- nium demand; or. when the con- nected load is 50 kilowatts or over and the off peak demand is more than twice the demand during peak hours, 31.75 per month per kilowatt of maximum demand in- e.uding the first 20 kilowatt hours Per kilowatt or maximum demand. Eileri-ly Charge: 2.0 cents per kilowatt hour for the next 180 kilowatt hours permonth per kilo- watt of maximum dernend: 1.5 eeriis Der it-ilowatt than: for all Wmumption over 200 kilowatt 501"! per month per kilowatt of maximum demand. Street Lighting late M-liability. This rate lhall ap- y to electric energy to be used y the customer for incandescent wet lishiins service furnished mlhill the Gh.rlottetown"area and all be for all-night service every Nsht on a schedule of approxim- Vklly 1.000 hours per year and Emil include maintenance of street he circuits and equipment Ind rcmoval- of lamps. Series or Multiple uglating 4000 ours Burning U0 candle ...,g.... to c. It it "er lump not new no candle per lamp per year per lamp per year .n 45.00 Olfidla pggvogg - W l 001' yllf watts-20.00 per ix per year Per lamp per year per lamp per 1031' The foregoing en- :,',,',:w""'lf!e-I are subject to the - E mg! liroviso: ff. because of an 0! gr decline in the ddjnggd unker 0 Fuel Oil above 91' bel ud nfggghe price of two dollars watts-72.00 File! Clause. milably :1... m. ' ...,,'"nc'c';:;llnblo lilbiect to vari- Utilities c,,mmf,:m'”m""I WW II'u0,f'l L;iqm:yh"" its own gmmy. P I Ipplieitioe by oi. ""3 POI. Torin Areas he hm” 0 50 I110! witlm. mu 2: gm " lb! worm "' "W-we. Bourie. and lor- I M-:1 den. as set forth in their acts of incorporation. Domestic Eerviee late Availability. The rate for do. mastic service shall apply to all electric energy used by the cugt- omer for domestic or household purposes, including lighting, -heat. inl. cooking. refrigerntioxr and power for ordinary small house- hold appliances. service shall be rendered under this rate through Ione meter to each individual household unit, i.e.. single family house, individual apartment. each unit of a multiple dwelling, and the like. Two or more household units shall not be connected to- gether and served under this rate, and it shall not apply to hotels. public buildings. public boarding houses. rooming houses. institu- tional dormitories and the like. Minimum Charge: " 03.00 per month including the first 20 kilo- r.att hours. ' Energy Charge: 3.0 cents per kilowatt hour for the next 180 kilowatt hours per month; 2.0 cents per kilowatt hour for all consumption over 200 kilowatt hours per month. ' Domestic Water fleeting Service Minimum Charge: when elec- tric water heating equipment is connected in the same service and supplied through the same meter as the domestic lighting service and when the simultaneous de- mand of the elements of the elec- trio water heater does not exceed 15000 watts, the minimum for do- mestic service shall apply. when the simultaneous demand exceeds. 1500 watts the minimum charge for domestic service shall be in- creased by 34.50 per month for each 1000 watt increase in the slmultaneous demand and shall include 20 kilowatt hours for each 1000 watt increase. General Service Rate Availability. This rate shall ap- ply to electric energy used by the connected in the same service and power purposes in all premises other than those covered by the Domestic Service Rate an Street Lighting Rate. Where service fo: lighting. heating and power can be measured through a single meter and service will not be im- paired by such grouping. single metering may be permitted by the Compan . (A) Light. lleet and Power up to 3 llilowaife Connected Load. Minimum Charge: 54.00 per month per kilowatt of connected load including the first 20 kilo- watt hours per kilowatt of con- nected load. Energy Charge: 3.0 cents kilowatt hour for the next lowatt. hours per month kilowatt of connected load: cents per kilowatt hour for consumpt over 200 kilowatt hours per month per kilowatt of nnected load. (3) Light, Heat and Power Over 3 Kilowetie Connected Load. Minimum Charge: 34.50 per nlonth per kilowatt of maximum demand including the first 20 kilowatt hours per kilowatt of maximum demand; or, when the nnected load is 50 kilowatts or over and the off peak demand is more than twice the demand dur- ing peak hours, 52.50 per month per kilowatt of maximum demand including the first 20 kilowatt hours per kilowatt of maximum demand. Energy charge: 30 cents per kilowatt hour for the next 130 kilowatt hours per month D8? kilowatt of in demand; 2.0 cents per kilowatt hour for'all consumption over 300 kilowatt hours per month per kilowatt of maximum demand. qireet I-llhtlng late aveuelltitty. This rate shall as- ply to electric energy in 116 "595 by the customer for incandesce t street lighting service furnished within the Town- Areas and shall be for ell-night service every night on a schedule of approximately g,ooo.houxs per year and shall in- clude maintenance of street light- ing ' .'ts and equipment anti renewal of lamps. Multiple Lighting ' 4000 flours lurninl watts-23.00 per lump per yen watts-42.00 per lamp per year watts-00.00 per lamp per yen? watts-05.00 per lamp Per yell? Fuel Classes: The toresolna en- ergy charges are subject to tho following proviso: If, because of the rise or decline in the delivered coat of Bunker C Fuel Oil above or below the price of two GOUEYS end ninety three cents 0293) Del” barrel (of 85 Imperial gallons). the cost of producing enersy IP- prbciably risee or falls, the said charges shall be subject to var- etion accordingly by i-119 Public Utilities Commission after a sum- any inquiry on its own motion or n 3; perte application by the Company. laiee for Rural Areas Rural Areas shall comprlse'I1l areas and districts. within this Province exclusive of the MCI west of arimmerside and the Charlottetown Area and the Tom! A.-aaa as hereinbefore described. Deuaeatlc. All Plrlll lervlee Bate Availability. The rate for do- rneetio services shall apply 10.33 electric energy used by ihi 01 iv clear for domestic or household purposes. includine llehtins. heli- ujg, cooking, refrigeration gang power forlordinar, small” appliances. service shall be ren- dered under thlelrate throulh 000 meter to each individual household unit, ie.. single family house. in- dividual apartment. each unit of A multiple d elling. and the like. he or household unite shell not be connected weather and served under this rate, and it shall not apply to hotoll. public buildings, mbiio boarding houses. roanlng bouaee. institutional dor- mi and the like. ,-A form shall be considered a domestic or and shall be served" through a single meter at per 180 tn an aggregate capacity of five r sepowe. connected load. If the aggregate capacity of motors ex- ceeds five horsepower connected load the General Service rate siiell apply. Farm buildings, such as barns. work shops, etc. shall be served through the same meter as the farm house but additional cottages. cabins. stores and the like shall be served through sepa- rate meters or the Genexalservice rate shall apply to the entire premises. Minimum Charge: 32.00 per month including the first 20 kilo- watt hours. ' Energy Charge: 3.0 cents per kilowatt hour for the next 180 kilowatt hollrs per month: 2.0 cents per kilowatt hour for all consumption over 200 kilowatt hours per month. Domes? and Farm Water Heating Service Minimum Charge: when Elec- tric Water Heating Equipment 's connected in the salne service and supplied through the same meter as the domestic lighting service and when the simultaneous de- mand of the elements of the elec- tric water heater does not exceed 1500 watts. the mi imum for do- mestic service shall apply. When the simultaneous demand exceeds 1500 watts the minimum charge for domestic service shall be in- creased by 34.50 per month for ea8h1000 watt increase in the simultaneous demand and shall include 20 kilowatt hours for each 1000 watt: increase. General Service Rate Availability. This rate shall ap- ply to electric energy used by the customer for lighting, heating and power purposes in all premises other than those covered by the Domestic and Farm Service Rate and Street Lighting Rate. Where service for lighting, heating and power can be measured through a single meter and service will not be impaired by such a grouping. single metering may be permitted by the Company. (A) Light, Heat and Power up to 3 Kilowatts Connected Load. Minimum Charge: 34.00 per month per kilowatt of connected load including the first 20 kilo- watt hours per kilowatt of con- nected load. Energy Charge:' 3.0 cents kilowatt hour for the next kilowatt hours per month kilowatt of connected load: 2.0 cents per kilowatt hour for all consumption over 200 kilowatt hours per month per kilowatt of connected load. (B) Light. Heat and Power Over 3 Kllowatis Connected Load. Minimum Charge: 84.50 083' month per kilowatt of maximum demand including the first 20 kilo- watt hours per kilowatt of maxi- mum demand; or, when the con- nected load is 50 kilowatts or over and the off peak demand is more than twice the demand during peak hours, 52.50 per month per kilowatt of inuxiiriiun demand in- cluding the first 20 kilowatt hours per kilowatt of maximum demand. Energy Change: 3.0 cents per kilowatt hour for the next 180 kilowatt hours permonth per kilo- per 180 per wait of maximum demand: 2.0 cents per kilowatt hour for all consumption over 200 kilowatt hours per month per kilowatt of maximum demand. Street Lighting Rate Availability. This rate shall. ap- ply to electric energy to he used to the customer for incandescent street lighting service furnished within the Rural Areas and shall be for all-night service every night on 51 schedule of approxim- atciy 4,000 hours per year and sliall include maintenance of street lighting circuits and eqllillmmt and renewal of lamps. Multiple Lighting 4000 Hours Burning watts -23.00 per lamp per yet! watts -42.00 per lamp PG? yet" . watts -60.00 per lamp per year 500 watts -95.00 per in 0 per yell Fuel Clause: The foregoing en- ergy charges are subject 90 W3 following proviso: If. because of the rise or decline in the delivered cost of Bunker C Fuel "Oil above or below the price of two dollars and ninety three cent! (82-93) D” barrel (of 35 Imperial Billions), the cost of Producing G119??? 09' preciably rises or falls, the said charges shall be subject to vari- ation accordingly by the Public Utilities Commission after a sum- mary inquiry on its own motion of on ex parte application by the Company. GENERAL REGULATIONS Effective 1 August. 1951- 1, contrasts. No electric service shall be given until a reilullr ID- plication form has been signed by the prospective customer. 2, pm or Contract. stander; contracts shall be for a period one year and shall be self-renew- ing from month to month there- after. h 3. Deposits. When required, eacn applicant for service shall depqe with the company a sum of "10": ey equal to the estimated charlie-r for two months service. The mini- mum deposit shall be 8590- Th” deposit is to be held by the Cot?- pgny as collateral security for e payment of its bills. and on DIV- ment of such deD0-lib 0 3”” "f the amount shall. separately. ail- ucar on the customer's bill Whm ix-ndered. The dept?!" W31: 5” 1:" turneli to the customer. ess ebv amount owing to the Oomplny Y him. after the service has bteeiil discontinued. when any delmtlt 9 hug for g period in excess othwo years. interest at'the rate of lg! per cent per ennum shall be cre - lied to the amount. 4. Payment of Bills. Unless oth- erwise ordei-dd by the Public Util- mu-lommission. bilie lilllli 5'-' tendered to each customer at in- tervale of not more thai1,oll0 month. (except for ""1 W” which may be two months). Ind 100 zoo -00 after th date rendered. d.3,.'Dela Ghyraeat Penalty. All bills she ,be computed aooordink to the rates fixed by the Public rate and may uneinotore iinlltilitlaa Cmlmininn. and if any man be .peyabie within fifteen pg, bill be not paid within fifteen days after the date on which it is rendered a penalty equal to give per cent of the amount of such bill shall be payable thereon but in no case shall the amount of any penalty be less than twenty- five cents, and no penalty shall be chargeable while a. deposit paid by the customer still remains with the Company. 0. Information On Bill. Bills rendered shell be in such form and. in addition to the informa- tion requiredby sections 3 and ll, hereof. shall contain such inform- ation as the Commission may pre- scribe. 7. Discontinuance of service, Any customer who wishes to have service discontinued shall give the C0mDIny forty-eight hours written notice. Until such notice is effect- ively given, the customer shall re- main responslble for the account. 3. Disconnection For Nou-Pay- ment of Bills. The Company shall have the-right to discontinue ser- vice if a bill remains unpaid more than forty-rive days after the am rendered. In addition to settle,- nient of the account, the customer shall pay a reconnection charge of one dollar before service is re- stored. 0. Protection Against Abuse or Fraud. The Company shall have the right to disconnect the sup- lily of electricity to any customdr i' it finds such action - y tc protect itself against abuse or fraud. . 10. Seal of Meter. If the seal of a meter is broken, or if from any cause the meter does not register correctly. then the probable am- ount of energy consumed shall be estimated on the basis of thecon- sumption in a corresponding per- iod of the next preceding year, or in the preceding billing period in the current year if the record for the preceding year is not avail- able. ll. Access To Meters. The rep- resentative of the Company shall have the right of access to met- ers or other Company-owned ap-- pliances at all reasonable hours for the purpose of reading. test- in, replacing or removing the ll me. 1, Premises Jointly Used For Residential and Commercial Pur- poses. When a customer uses part of his residence for a store. beauty parlor, ooming house or other commer al enterprise and service is provided through a single met- er, the General Service rate shall be applied to the entire premises. When connected load is the basis for billing. the residence portion shall be countedcas 1000 watts. 13. Short Term Service. short Tfm Service shall be available to summer cottages, tourists camps. summer hotels. warehouses, skat- ing and curling rinks. canteens, and other like recurring services. A customer taking short Term service shall pay a short term minimum bill equal to four month! 1:; minimum charges applying to the district. The Company shall have the right to Bnllect the short Term minimum in advance of connection. 14. Temporary Service. when the Company is called .upon to furnish temporary service. the customer shall be billed for the cost of installing and removing the necessary connections. in addition to the cost of service supplied at the regular rates applying to the district. If the service is discontinued within thirty days, the bill shall be pro-rated at the regular month- ly rate, but shall not be less than 1X2 the monthly charge. The Company may collect a deposit before connecting a tem- porary service customer. Such de- posit shall be a fair-estimate of the cost of installing and remov- ing connection as well as the esti- mated charges for electricity to be supplied. 15. Connected Load. Represent- atives of the C mpany shall have the privilege of visiting all cust- . omers' premises during reasonable liours for the PUYDOBC 01' Checking the connected load. 0 16. Measurement of Connected Load: a. The total rated capacity of all installed electrical equip- ment; taken to the nearest hun- dred watts shall be used as the liasis for the charges. except as hereinafter provided. b. Empty sockets shall be counted as 50 watts each. c. In electrical supply stores, fixtures connected for demonstra- fion purposes only shall not be included in the connected load. 4. when a customer's connected load is less then looo watts. his '- shall be based upon aload of 1000 watts. e. For the purpose of determin- ing connected loads. motors offivt-. horsepower and less shall 139 rated on s basis of l horsepower : 1000 watts. f. Electric welding transformer! and X-ray machines shall be rated at 5095 of their nameplate capa- city. 17, lneialietlona up to 3.000 wall- eonneoted load. Where the con- nected load as determined above tsee 16) ie not over 3,000 watts. connected load shall be used as the basis for billing. la. Installations over 3.000 watts connected load. Where the con- nected load as determined (see is) is over 3.000 watts. maximum demand in kilowatts shall be used as the basis for billing. l9. Maximum Demand. Maxi- mum demand shall be determined by the installation of a suitable d ” indicator which will re- cord: the maximum fifteen minute demand during the billing period. 20. Power Factor. when P are based on maximum demand, they may. at the Company's op- tion. be adjusted for power factor in the following manner: The demand shall be m 1 in kilovolt amperes-by means of an indicating K.V.A. meter. The dnnand reoordhd by this meter ehail be multiplied by 859;. and the result shall be treated as the kilowatt demand for billing pur- poses. ii. on rate for the minimum .oi1arge shall be available to customers having a connected load of 50 kilo- watts or more whose maximum demand occurs outside bf certain 22) and is more than twice as treat as any d cl within those houresfmn ocmmng ' 22. Peak Hours. The hours re- .erred to in Clause 21 as "beslg. slated Peak" Hours shall be as .ollows: From 4 PM. in ii PM. dur- ing the months of November to February inclusive, subject to modification from time to time as load conditions may require, and as the Public Utilities; Commission Ipproveg, 23. Fluorescent and other Light- llll having Similar Characteristic , Power Factor Correction. The Company shall have the right to refuse electric service for the op- eration of fluorescent or other WP0! 01 llchilns equipment hav- in: similar characteristics, which 13 not Equipped With power factor correction devices, so that the Pcwer p factor of such lighting equipment when in operation is not less than 9096 lagging. 24. Water Heating Service pro. vided for in these rates for do- mestic and farm water heating may be controlled by the Company to limit or discontinue service over peak hours. but shall be available for not less than 18 hours daily. 35- mlliufcs. If any dispute shall arise between the Company and a customer. either party may refer the matter to the Public Utilities F ' ' for -' 1 ' , and the Commission. on any such Tcference. may. notwithstanding anything contained in these regu- tlllonl. make such order as it may deem just. -.. REASONS FOR DECISION It was part of the original plan that upon the determination of the Earnings Base for the Mari- time Electric Company Limited an inquiry should be entered upon to ascertain the fair earnings re- quirements of the Company and to set up a rate structure which would spread the cost of supplying service to the customers of the C0mp8lly 06 equitably as possible among the recipients of service. And after the Commission had fixed the Company's Earnings Base by its order of 28 February, 1051, the Company formally re- quested the Commission to set up such rate structure. The Setting up of a rate struct- ure is not a simple matter for it involves a very careful and thor- ough atudy of the various factors which enter into the cost of pro- duclng and distributing electric energy. Production and distribu- tion costs in general include: (1) all salaries and wages. including fees for technical advice; (2) the cost of all materials. including fuel but excluding the cost of all capital materials which form part of the Earnings Base; (3) all tax- es and assessments payable by the Company before dividends are declared and (4) the fixed return on Earnings Base. Obviously therefore. such a task could only be performed satisfactorily by persons with special training and skill. And once again the Com- mission turned to Mr. John R. Kaye and his associates in En- gineering Servlce Company of H ex. who as part of their gen- era duties have been engaged in the like work for many years. Mr. Kaye and his associate, Mr. Percy Lovatt. in the light of their experience examined the records (R Maritime Electric Company and compiled the following proposed schedule of rates and filed the same with the "Commission: NOTE: The following are net rates when payment is made within fifteen days from the date of the bill. Bills as rendered will be com- puted at rates ten per cent higher than those herein. A correspond- ing discount will be deducted if the bill is paid within the fifteen day period. C" lotietown Area ' Domeeiice lervioe Ivilnimum Charge : 32.00 per month, including the first 20 kilo- watt hours. Energy Charge: 3.0 cents pere kilowatt hours for the next 180 kilowatt hours per month; 1.5 cents per kilowatt hour for all consumption over 200 kilowatt piours per month. Domestic Water Heating service Minimum Charge: When Elec- tric Water Heating Equipment is connected in the same service and supplied through the same meter as the domestic lighting service and when the simultaneous de- mand of the elements of the elec- tric water heater does not exceed 1500 watts, the minimum for do- mestic service shall apply when the simultaneous demand exceeds 1500 watts the minimum charge for domesti service shall be in- creased by 03.00 per month for each 1.000 watt increase in the simultaneous demand and shall include Z) kilowatt hours for each i000 watt increase. General Service A. Light. Fleet and Power up to 3 Kilowette Connected Load: Minimum Charge: 32.50 per month per kilowatt of connected load including the first 30 kilo- watt hours per kilowatt of con- nected load. Energy Charge: 2.0 cents per kilowatt hour for the next-100 kilowatt hours per month per kilowatt of connected load: 1.5 cents per kilowatt hour for all consumption over 200 kilowatt hours per month per kilowatt of connected load. - 3. Light. fleet and Power over 3 Kilowalte Connected Load: Minimum Charge: 33.00. per month per kilowatt of maximum demand including the first 20 kilowatt hours per kilowatt of maximum demand: or. when the connected load is 50 kilowatts or over and the off peak demand is more than twice the demand dur- ing peak hours, 31.75 per month per kilowatt of maximum demand ,including the first 20 kilowatt hours per kilowatt of maximum demand. Energy Charge: 2.0 cents per kilowatt hour for the next 130 kilowatt hours per month per kilowatt of maximum demand; 1.5 duiensi-ed peel: hours tseeoliues consumption over maximum demand. Street Lighting 4000 Hours Burning 100 candle power:- 250 candle power:- 400 candle power: - 000 candle power:- liurai Area Energy Charge: kilowatt hours per month: cents per kilowatt hour for consumption over hours per month. Minimum Charge: and when the simultaneous mestic service shall apply. 1500 watts the minimum each 1000 watt increase in simultaneous demand and 1000 watts increase. General Service 3 Kilowstts Connected Load: Minimum Charge: 54.60 ilected load. Energy Charge: kilowatt hour for per kilowatt hour per month nected load. 1!. Light, 3 Kilowatts Minimum Connected Load: Charge: demand including cents per kilowatt hour for all 200 kilowatt hours per month per kilowatt of Series or Multiple Lighting 23.00 per lamp per year 33.00 per lamp per year 45.00 per lamp per year 60.00 per lamp per year 100 watts- 20.00 per lamp per year 200 watts-- 30.00 per lamp per year 300 watt.s- 50.00 per lamp per year 500 watts- 72.00 per lamp per year Domestic And Farm Service Minimum Charge: 64.00 per month including the first 20 kilo- watt hours. I 3.0 oents per kilowatt hour for the next 180 200 kilowatt Domestic Water Heating service When Elec- tric Water Heating Equipment is supplied through the same meter connected in the same service and as the domestic lighting service mand of the elements of the elec- tric water heater does not exceed 1500 watts, the minimum for do- When the simultaneous demand exceeds charge for domestic service shall be in- creased by 84.50 per month for include 20 kilowatt hours for each A. Li'glit. Heat. and Power up to month per kilowatt of connected load including the first 20 kilo- watt hours per kilowatt of con- 30 cents per the next 180 kilowatt hours per month perkilo- watt. of connected load: 2.0 cents for all con- sumption over 200 kilowatt hours per kilowatt. of con- Heat and Power over 34.50 per month per kilowatt of maxlmurri the first kilowatt hours per kilowatt of maximum demand; or. when the connected load is 50 kilowatts or over and the off peak demand is 3 more than twice the demand dur- 5 in; peak hours, 32.50 per month per kilowatt of maximum demand 9 including the first 20 kilowatt 5 hours per kilowatt. of maximum demand. Energy Charge: 3.0 cents per kilowatt hour for the next 180 C kilowatt hours kilowatt of maximum demand; 2.0 5 cents per kilowatt hour for all ” consumption over 200 kilowatt hours per month per kilowatt of niaxi.mum demand. Street Lighting ti Multiple Lighting 4000 Hours Burning waits- 23.00 per lamp per year watts- 42.00 per lamp per year 300 watts- 60.00 per lamp per year 500 wett.k- 05.00 per lamp per year These proposed rates were made the subject matter of a Public Hearing held in Charlottetown on Thursday and Friday, the l1tll and 18th days of May. AD.. 1951, or which due notice was given by advertisements in the public press. At this hearing counsel appeared for the Province of Prince Ed- " I00 200 lates per month per 9 both Town and Rural Areas could tint be treated as entirely inequit- able -so as to require special rate suucture for such areas. And were it not for the evidence on plant loading given by Mr. stairs hereafter discussed, no variation could be considered. - It is" further ntended that the lines had already been built to the Town areas at the prevailing eon- siructlon costs and that rates were set up to provide a fair return on the basis of such costs, but be- cause of rural electrification much new line was being constructed at higher costs and that the resi- dents of the Town Areas were be- ing compelled ta pay higher rates to defray the cost of rural electri- fication. With that contention we do not agree. At. no time in the past has any rate structure for areas other than Charlottetown been set up or varied on the ad- vice of independent rate analysis and Mr. Kaye now says the areas have not been bearing their full share of distrbution costs As to the contention that the new lines are more costly. there can be no question. The cost of line con- struction has risen in the past few years 25096 to 30092; per mile. The contention could best be raised in favour of the Montague Area, but it must not be forgotten that the line from Charlottetown to Mont- ague has only recently been re- built and at the greatly increased construction costs. so that it can- not be said that it is proposed to increase the rates in the area for service over old and cheaply con- structed lines. Mr. Stair-s' Contention On behalf of the Maritime Elec-' tric Company. Mr. Denis Stairs. in vice-president, was the princi- pal witness, and without offering an alternative schedule of rates, he contended that the proposed schedule would not yield an adeq- aie annual return on investment to the Company. He further con- tended that the proposed rates of 1.5 cents per k.w.h. for the last block of energy- sold in the Char- lottetown Area and 2.0 cents per k.w.h. for the last block.of energy in the other areas were too low and would result in energy being sold at a loss to the Company and that such a low rate would serve as an incentive for customers to use more energy with the result that the demand for energy would soon over-reach the Company's existing capacity to generate elec- trical energy. This, he contended. would require additional capital investment for which no addit- ional service charge would be made and for which the proposed rates would make no extra contri- bution. I Insofar as such argument re- in consumption in rural reas we do not think it need be eriously considered at the pre- sent. time for very few rural cust- mers are likely to reach a large onsumption of electric energy, at least for some time, but such is not the case insofar as the Char- lottetown area is concerned. Many ustomers are now using energy in uantity sufficient to receive the cnefit of the lowest rate and the se of energy is continuing to rise in the City Area, and any incent- ive to greater use of energy serve to over-l-each the Company's generating would capacity at an early ate. Therefore. since it is not the wish of the Commission to compel the Company to embark on early expansion of its generating capacity in these times of uficer- tainty in the money market, feel impelled to yield to Mr.Stairs' contention insofar as it cnncerns the rates for the last block of en- ergy sold to domestic the Charlottetown area. In WP. sill Temporary Experiment such a variation in the proposed rates would service to add to the an- al revenue of the Company and lottetown, for the Towns and capebly Manning. sultant. ritory. As increase. ly populated rural that reason. ing are considered. contends that an arbitrary the proposed rates ward Island, the citizens of Chas- Georgetown, Montague and souris. as well as for the Innkeepers As- sociation of Prince Edward Island. Mr. Kaye, in support of his pro- posaisk presented a very exhaust- ive compiliation of figures setting forth the Company's operational expenditures and revenue require- ments. He was very. thoroughly cross-examined by counsel representing the various interests as well as by Mr. R. W. the Commission's con- It will be noted that the pro- posed schedule divides the area. to which the same is intended to apply, into two zones, one desig- nated las the Urban Area which comprises the Charlottetown area as hereinafter described. and the other to include all remaining ter- this latter area was intended to include the incorpor- ated Towns of Georgetown. Mont- ague. Souris and Borden. Mr. Gaudet for the Towns of George- iown and Montague. and Mr. Mc- Queid for the Town of Bouria very strenuously and very ably contended that as the proposed rates contained a very subatan ial increase over the existing rural rates and were designed to allow for no intermediate rate for the Town Areas. their residents were being subjected to a double rate They contended that, because of the greatly increased numbers of customers per unit of line in the towns. the cost of dis- tribution would be greatly reduced in comparison with the less thick- diatrlci and that special consideration should be given to the Town Areas for Veriable Distribution Coats Now it must be admitted that when all the factors of distribut- the distribu- tion cost per k.w.h of energy ver- iea with each customer: as an ex- ample. the more remote the cust- omer is from .he point of genera- tion. the greater must be the cost of line to carry the energy. But Mr. Kaye in his evidence abLv must be drawn at some piece and fiat. on the whole. the making of. applicable to since we accept the opinion of Mr. Kaye that his proposed schedule would yield a fair return. it be- comes necessary to make some other variation in the schedule to bsorb that increase. In searching '56? a. variation which might be made to absorb the increase with- out unduly upsetting the whole structure. it appears that a reduc- tion of one dollar per month to the domestic . in the in- corporated towns would meet the requkements and would be: per- haps, the most equitable of all variations which could be made. since it must be admitted that distribution costs are somewhat less in the more thickly populated areas than elsewhere. It has. therefore. been decided as a tem- porary experiment that such re- duction be made and that a third area be set up which will remove the customers within the corpo- rate limim of the towns from the schedule applicable to the Rural Areas. ' Con el on behalf of the Inn- keepers Association urged that special consideration should be given to rates affecting Tourist. Accommodation. But while the 0 mission appreciates the im- portance of the tourist industry to our economy it does not feel justi- fied in granting any special rates to any person or class of persons which cannot be supported as reasonably equitable. Fuel Clause Mr. stairs urged in his evidence that any rate structure set up should contain a "Fuel Clause". that is, a provision which would provide for an upward or down- ward revision in case of variation in fuel costs. He pointed out that by far the greatest single item of production cost was that of fuel which has been constantly chang- ing and is subject to ohmic It any time. As there seems. to be no escape from this Ruth, we agree that a. Fuel Clause should be inserted providing for e varie- tlon in rates following a variation in fuel prices. But while it is un- desirable that a full scale public inqulry should be made for each variation. it is also undesirable that any change should be made without a study by the Commis- sion. We. therefore. propose to insert a "Fuel Cialln" lu.t-be rate structure by which the "Commis- sion may very rates upon satie- factory proof by the Company that the cost of fuel has varied to such a degree as to appreciably affect the cost of producing elec- tric energy. . Delinquent Payments A , Heretofore, this Company. in rendering its bills. was permitted to make a reduction of twenty- five cents if the customer paid the hill within fifteen days from the date of rendering. We do not approve of the giving of ” counts. A discount in rates is an admis- sion that the rnie is higher than necessary and since a. rate struct- ure is besed on the earnings re- quirements of the Company, a re- duction or discount does not seem to be warranted. However, it must be admitted that unless some in- ducement towartls prompt pay- ment is provided. customers will aliowthelr accounts to remain un- paid, thus saddling the Company with the added expense in carry- ing charges for services already supplled,by it. We think the only satisfactory gmcans of encouraging early payment, in the circumstan- ces. is to impose a penalty on de- linquent customers and we feel that a penalty of five per cent of the amount of the bill would be I fair penalty and would give the required result. but that any pen- ally less than tlvcilty-five cents would offer no inducement to- wards early paymcnt. It has been decided, therefore. to discontinue the practice of discounting bills and to impo.-:e a five per cent pen- alty, with a mllllmunl of twenty- flve cents. on any bill not paid within fifteen days after the date cn which the bill is rendered. In. so doing no nrcference if given but the added expense to the Company of carrying delinquent customers will be borne by those at. fault. We had hopcd to be able to set up a. sclledilltr of rates which might have some relative degree of permanence and to have each customer's bill reflect all the in- formation lleecssaily to check the computation of his bill. However. we now find tins to be impractic- able because recent developments in world conditions make further increases in fuel costs imminent. No useful purpose will be served by any lengthy analysis of the figures upon V.'iliCil Mr. Kaye cal- culated his rate schedules. suf- fce to say that the Commission feels that Mr. Kaye is a recogniz- ed expert in ills line of work and since no serious attack has been made as to his correctness we feel obliged to accept his recommends- ions with minor changes includ- ing those above mentioned. The Commission had reached its decision some time ago on this question but wizliheld ihe same pending the reacliiilg of an under- standing with the Company on certain matters pcrtalnirlg to ex- pansion. Uilderstallriinr: has now been reached on those matters. The order will go for the set- ting up of the rate schedules on- nexed thereto effective on the first day of August. A.D.. 1951. as to the energy sold by the Company according to its first regular mete: readings made on and after the first day of September, A.D.. 1951. Dated this thirtieth day of July, A.D.. 1051. Text of Order Tile order issued by the Com- mission in the above case. omitting the preamble, reads as follows: "This matter having come on for hearing on the seventeenth and eighteenth days of .Mey, A.D.. 1951. after due notice thereof hav- ing been glven in the public press. and upon hearing the evidence adduced thereat; as well as what was alleged by counsel". and the matter having been adjourned for consideration. it is now ordered- that on and after the first day of August. A.D.. 1951. the several schedules of rates and charges ef- fective in relation to the produc- tlon and distribution of electric energy produced by Maritime El- ectric Company, Limited, within Prince Edward Island and all regulations governing the same shall be repealed, and that tho rltes. charges and regulations con- tained in the scheriules hereunto annexed shall be effective in lieu thereof; "And it is further ordered that the rates and charges hereby fixed shall apply to the sale of all elec- tric energy as disclosed by the said Company's meter readings regularly made on and after the first day of September, A.D.. 1051: "Provided that the rates now'ei'- feotive for all customers served under the General Service Rate for Summer Accommodations shal continue in effect until the thirty- flrst day of December. A D., 1951 "Dated this thirtieth day of July A.D. 1951." AARROW ESCAPE WINDSOR, Ont..--(GP)-Ten year-old Ross, Cummings who wet almost killed by a slow-movlni freight train said he nad been pushed in front of ihc train by a playmate, He was treated for I badly-cut left foot. DOUBLE FEATURE LACHUTE. Que.-(CP)-A Hol- stein cow on a nearby farm was found in the pasture with a new- born calf. The cow diseppeereu iu':ain,that night and was found again next morning. with a second calf at her side. All three are do- ing well. 4 GOLD TEST The mineral touchstone has been used to test the purity of 'gold and gold alloys for more than 2.000 years. makes lios.pit.'iiiltl ll ; ., V . fit