A LTHOUGH the Bill authorising the establishment of a great company
for the supply of electrical energy, both in bulk and to large retail consumers, over a very considerable part of the Metropolis and an extensive extra-Metropolitan area, was "wrecked in port " at the end of last Session, the fact that it had passed the House of Lords and was approved by a Select Committee of the House of Commons essentially modified the previously existing situation. For, practically, it must now be taken that the predominant, and indeed the best, Parliamentary opinion is to the effect that there is such an actual and potential demand for electrical power within the Metropolitan area, and in adjoining districts in which industrial development is taking place or is promised, as cannot be supplied with any approach to adequacy by existing organisations, whether public or private. The state of things thus de- clared to exist clearly cannot be regarded as of slight con- sequence. London, with the terrible and growing incubus of the unemployed problem resting upon it, cannot quietly contemplate the indefinite continuance of a gratuitous shortage in the supply of what has become a prime necessity of industrial growth, or the maintenance of a gratuitously high price for that necessity. As well might it acquiesce in a reimposition of the coal-dues or a general tax upon raw material. That being so, the question for London is in what way the supply of electrical energy is to be adjusted to the demand already existing, or likely to become so within the course of a ,few years. It may probably be assumed with confi- dence that the promoters of the "Administrative County of London and District Electric Power . Company," commonly called the "Administrative Company, will present themselves at the earliest possible date in the next Session and press for an endorsement, as speedy as may be, of the favourable judgments passed upon their enterprise last Session. And no doubt a very considerable body of public and of Parliamentary opinion will sustain them in that course, and will favour their being allowed to attain their object with the minimum of further expense and trouble. "Here," it will be said, "are a number of persons of excellent financial standing and. with abundant experience in the kind of undertaking in question, who are ready and anxious to devote their time and to risk their money for the object of setting up, as early as possible, for the Metropolitan area and adjoining districts, a boundless source of supply of an economic desideratum of. first-class importance. Of course, they hope to make a good thing out of the business, but if they succeed in doing what they promise they will well deserve their reward. Why should they be hindered P" To this the reply of the London County Council, and not only the London County Council, but the Corporation of the City of London and that of the City of West- minster, was, and we presume still is, in effect, that no set of persons, of however excellent repute, finan- cial and administrative, can be trusted to wield in any interests other than their own such enormous powers as would ultimately come into the hands of the private company, who would gradually, and probably rapidly, engross the working or control of the whole supply of electrical power within the greater part of the county of London and large adjoining rural areas. The promoters, it may be said, denied that they aimed at wielding a monopoly, and certainly showed themselves very liberal, and skilful, in neutralising the opposition of a large number of Metropolitan borough authorities and private electrical companies. But to this it will be rejoined that it was well worth the promoters' while to pacify these elements of resistance, and that whatever intentions they might profess, or even cherish, in regard to the establishment of a monopoly, they would inevitably be driven by the pressure of shareholders demanding divi- dends into a policy that would make all effective competi- tion with them impossible. It is only three years, we are reminded, since Parliament finally determined that not one but several sectional monopolies of the supply of water constituted a system which could no longer be safely endured by the people of London, and established a machinery by which, at heavy cost, those undertakings were compulsorily transferred to a: public representative authority. What reason is there for supposing that the it is mainly under the influence of apprehensions of this description that the large majority of the London County Council has decided to promote a Bill in the ensuing Session of Parliament practically conferring upon it the powers sought, and all but obtained, last Session by the "Administrative Company," subject, however, to previous full discussion by the Council of the provisions of such Bill, "especially as they affect the financial consequences of the scheme." This reservation was added on the motion of Sir Francis Mowatt, and represented—more or less—the views of the Finance Committee of the Council, who, having had before them a Report by the Highways Committee in favour of the undertaking of the business of electrical power-supply by the Council, had reported upon it in dis- tinctly discouraging terms. Their main grounds of objection were that they had not sufficient evidence before them as to the likelihood of the business being a self-supporting one, and that it was uncertain whether the millions of capital required for the starting of the electrical power-supply undertaking could be raised without affecting unfavour- ably the credit of the Council. Having regard to the Report of the Finance Committee, it would seem just possible that when the subject is fully discussed, with further information as to financial probabilities, the Council may hesitate to proceed further. Lord. Welby has impressed upon his colleagues very strongly of late the duty of remembering that they are the custodians of the public purse, and it is to be presumed that if the full elucidation of the probable financial workings of the project in question, which may be secured by future discussion, should, not satisfy him and Sir Francis Mowatt, they will use their influence to prevent its adop- tion by the Council.
Yet something will have to be done. On the one hand, there is the danger of the establishment of a great monopoly, which Sir F. Mowatt says that he realises as strongly as anybody. On the other hand, there is the practical impossibility of allowing London to drift on without the provision, recognised by Parliament as necessary, of the means of utilising recent scientific progress for the development of Metropolitan industries. Are we shut up to a choice between these two dangers, or, in order to avoid them both, must we face the grave risks of the undertaking of a vast speculative enter- prise by our principal local governing body ? These are the questions which will come up for consideration at the Conference of local authorities which is summoned. for the 20th inst. for the discussion of the whole subject. They are not questions on which it is wise to be hastily dogmatic, and, for our part, we cannot but think that there is much to be said for falling back for a solution on a Royal Commission, which a few months ago was advo- cated by both the County Council and the City Corporation. It is not absolutely clear that the reference of the issues involved to such a tribunal need mean the loss of a Session for effective legislation upon them. A large part of the subject was threshed out before Select Committees of both Houses of Parliament last Session, and there does not seem to be any sufficient reason why, if Commissioners were appointed early and instructed to exercise despatch, they might not have a satisfactory Report ready by Easter. But, in any case, the difficulties in every direction seem so serious that even the delay of another year would be wiser than the adoption of an incompletely considered solution. The Conference next week, therefore, it may be hoped, will direct its efforts to securing an impartial and authoritative inquiry into a question of the first moment to the future welfare of London.
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