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Association, and methods of cond :ct of the Association work I am very sure that we will welcome you to come to headquarters at any time to make any inquiry because the Association is getting to be a very big proposition and the amount of money handed is going up into figures, much larger than those which we ued to discuss m years back, and I assure you that the officers of the Association have tried to adopt the same methods and principles of expending the funds of the Association that they have adopted in the conly t of their own company business

We will now receive the report of the Executive Manager, M H Alesworth

Report of the Executive Manager

M. H. Aylesworth

reses and reports of the executive *men of national sections, and chur *d committees of the National Elecsolation tell the story of the achieve e organization for the past year per for me to take up the time of " to enumerate or to detal these i h as the membership has been kept h the various publications of the some of the outstanding work of the deserves a brief review

organization contemp'ited at the time in of the new Constitution at Pasadena been brought to frurion and is now Iwe've of the thirteen geographe viled for in the constitution have been iter work has not detracted from or

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"Electrify America"

During the year there has evolved from the work of the Commercial Section a great national movement on business development in which all of the other branches of the industry have joined. This movement has been growing steadily since it was organized in December, 1921, and has increased so in importance as to justify the Association in devoting one whole session to it. Inasmuch as the campaign from now on will be an intensive one the symposium on Wednesday and the exhibit of the Joint Committee warrant attention and study. Upon the central stations of the country will fall the brunt of the work of shaping and directing this campaign, and it is expected that Wednesday's session will create enough enthusiasm to make the ultimate success of the campaign to "Electrify America" a certainty.

Technical Section

The Technical Section has worked assiduously for better construction, more reliable equipment, and greater efficiency in the production, distribution and utilization of electricity. Nothing of merit in engineering escapes our technical staffs and the standards they have set and maintained during the year have won the admiration and esteem of the regulatory bodies and of the public. It is one of the greatest assets of the Association to be able to command the services of so great a body of experts on its vital engineering problems, and it is an inspiration to feel that the driving impulse back of all the work of the Technical Section, the purpose of all the discussions, is how to increase the reliability of electric service and at the same time lessen its cost. I know of no other body of men animated by higher ideals and who work more unselfishly in the public interests than the technical staffs of our utility organizations.

The cooperative work of the Technical Section with the telephone interests is especially worthy of note at this time because of its successful outcome. It is not right, nor have we any desire to antagonize or to do hurt to other public utility interests equally essential and legitimate. The remedy for any troubles we may have with the telephone companies lies in a calm and well-meaning comparison of observations and experiences with the object of diagnosing the cases, determining the causes of trouble and applying antidotes for the present and preventive measures for the future. It is a pleasure to be able to report that as a result of friendly cooperation the electric public utilities and the Bell telephone interests have agreed upon wise and effective lines of policy and action to the advantage of both classes of utilities.

Public Relations Section

The Public Relations Section has given a good account of itself during the year. Public good-will has been cultivated through this section in a very effective manner by means of national advertising, motion pictures, public addresses, and a program of

public information. Because the work of the section is probably more spectacular than the work of the other sections and comes into more intimate and direct contact with the public, it must for that reason be planned with great care. It is a pleasure to attest to the excellence of the work done by the various state committees on Public Utility Information and to the growing good-will resulting therefrom.

Accounting Section

The Accounting Section has been working with the National Association of Railway and Utilities Commissioners in still further perfecting the uniform classification of accounts. The section has also been of service to the Water Power Committee in its dealings with the Federal Power Commission in matters of accounting.

In its relations with other organizations, your Association continues to work in friendly and helpful harmony. The national committee cooperating with a committee from the Mutual Savings Banks Association has made great progress toward removing legal restrictions and encouraging investment in public utility securities by mutual savings banks. The National Association of Railway and Utilities Commissioners extended an invitation to your executive manager and other representatives of the Association to speak at the convention of the Commissioners at Atlanta and enter into a program of cooperative effort with them in the interests of better public service. Cooperative relations are also maintained between the three other national public utility associations and with the Investment Bankers Association.

In order to take care of the increased activity brought about by the joint action of manufacturers, jobbers, contractor dealers and central stations and culminating in the "Electrify America" movement, the staff at headquarters has been somewhat augmented. Care has been exercised also to organize the other departments at headquarters in a way to be of maximum service to the membership and it is a matter of pride to note the increasing usefulness of the organization at headquarters to member companies.

Murray and Flood Report

Ever since its inception the system of the HydroElectric Power Commission of Ontario has been cited as a successful state-owned enterprise which has conferred on the various municipalities of the province, and through them on the public, the benefits of electric service at rates unattainable in any part of the United States. Such a challenge to our industry, which under private management outclasses in enterprise, resourcefulness and development any similar industry in the world, could not be permitted to go unanswered. Accordingly, the Association enlisted the services of W. S. Murray, who conducted the Superpower Survey for the United States Government, and who in addition is conversant with Canadian conditions, having been.

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am in choosing Messrs. Murray and Flood t'e study was to obtain a report from engie former government connections wou'd em to look at the matter from an angle t from that of engineers engaged primari'y al station work. As operators of properties

ons of dollars, the membership repm the National Electric Light Association vita"y interested in the truth or falsity ms made for the Hydro-Electric Power n of Ontario. Indeed we should be very te! if, as business men, we harbored any or permitted ourselves to be self deceived ay merit in Ontario's state owned hydroit surpasses in efficiency, in quality or in the service rendered by modern privatelytems of the United States, we of all men ww it

gs of Messrs Murray and Food are to say the least, and reveal the magnitude

os and widespread propaganda caryears with the purpose of creating the In that private ownership and operation is • to murs ypal ownership and operation. Far that to be the case, Messrs Murray ad proved the exact opposite and show from » Commission's own figures and from m statisties, that better and more dipend

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is being rendered by the privately tems of the United States, and, what is

point that this superior service costs › per unt delivered in the United States ter of service costs in the Province of On Ssequent developments and investigations

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mural authorities of Ontario micate that pray and Hood in their report to the Lectric Light Association were very conat that the situation in Ontario is n uch an they pictured On'y recently the Oncepiment was moved to a point a royal to make a thorough investigation of L'ectric Power Commission and to dethe costs of its developments so far ey Leering estimates Thus your Asas procured an exhaustive and unbased ete with statistics and facts, which shows

at no s'ate or municipal service comity or cost with that rendered by mod •privately owned and operated

done and won the commendation of the government and the utilities alike The present coal strike brings us face to face with the problem again Months before the nuners went out on strike, how ever, your Association warned its members that such a crisis was imminent, and recommended that they begin to store coal in large quantities to carry them through the period of strie That thus far there has been no shut down or curtailment of e'ectric service due to coal shortage speaks well for the vigilance of the e'ectric public utilities For a month and a half now, there has been a deadlock between miners and producers and there is no tell ing when the strike will end No anthracite coal is being mined at a!, and the weekly production of the non-union bituminous mines is only about four and a half million tons This is not half enough to keep the industries of the country moving, that great inroads are being made on the surplus supplies According to the United States Ge jogca' Survey these supples totalled on April 1st, when the strike began, approximately 63000000 tons and we hive been eating into this surplus at the rate of 4000000 tons a week It behooves every central station manager, therefore, to safeguard his dishing reserves by judicious purchase of fuel whenever and wherever it can be obtained. It is expedient that coal production be encouraged and at feverish or gluttonous buying be restrained There is no im.meshate cause for alarm or any reaRail son for paving exorbitant prices for coat! road excortives have assured your Association that coal bought by electric ut lites will be moved pron pt'y and I would suggest that any member company experiencing any delay in coil shipments transmit the facts to Association Leadenarters for in mediate attention Pronty orders are not 'e'v to be issued agun nor will there be any ་་་་་་p* for them it the unites exetuse 10 hm and m eration in gra daily and constant's consumption and storage It certa n'y feather in our caps and elevate is in pull, tion it we can at age to pEtn 1 strike without interrupting or otherwe Our servNE The staff at feily matters 1 and wing to and in estabili

Your Water Power Cor with the task of th Federal Power (

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the war and ever since the in intimate tou h with the coal situa r to guard the member- p from pos rage Of the work of the National in Gas and Electric Service it is not

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Work at Headquarters

More than two thousand showings have been given of the motion picture "Back of the Button," during the year, according to figures from only fifty per cent. returns from companies and estimating the other fifty per cent. It therefore is safe to say that more than two million people have seen the picture which is still being shown in all parts of the country. A new picture, "Yours to Command," will be shown at the convention and will be available for distribution afterwards.

The Department of Publicity at headquarters has carried on a very energetic campaign through farm and popular magazines, advertising and describing the merits of electric service.

Matrices and electrotypes of these advertisements have been furnished to many member companies, following the plan in operation a year ago. While many of the companies have taken advantage of this opportunity to secure ideas for advertising, the number has not been as great as might be desired. We have been successful in securing some articles in national magazines and a considerable amount of newspaper publicity upon the growth of the industry, and news material which has developed from time to time.

The Publicity Department is working in close cooperation with state committees on public utility information, and in cooperation with the publicity departments of the American Gas Association and American Electric Railway Association has been largely instrumental in organizing state committees during the last twelve months. In this work the Publicity Department of course has been functioning under the direction of the Public Relations Section.

Prosperity at Hand

In any summary of the conditions which surround the electric light and power industry today, two issues present themselves for attention, the necessities of growth and how they are to be financed. It must be apparent to every observant operator that the field for expansion in the electrical industry is almost limitless. Last year almost two billion dollars was expended for new buildings, setting for the nation a mark never before approached. The greater part of this huge expenditure was made in cities for the purpose of housing their people. Hence there came into being a vast and still growing increase in the domestic service load of the electric light and power companies, for not only is every new urban dwelling erected in this progressive country connected with our lines. as a matter of course, but outlets for appliances are provided on a scale undreamed of a few years. ago. This is not all. Campaigns for the revival of business are being waged. Prosperity is on the threshold and as it enters an industrial load far greater than any in the past must be carried by the central stations. The outlook is roseate indeed and no one will wonder that, faced by so imperative a demand, the program for new construction adopted. by our companies is of unprecedented size. Not to

be prepared would be to fail lamentably in duty to our customers and to 1,600,000 owners in all parts of the country and to the whole community. But, to measure up to the opportunities presented requires large amounts of capital. How can these necessities be met? The answer is ready. First, money can now be had in the market at lower rates than have prevailed for many years. Second, operating expenses should be materially reduced during the coming year, lessening the strain of management and increasing the stability of investment. Third (and this is the most significant of all). junior securities to the value of more than sixty thousand dollars were last year sold to customers. This great forward, cooperative, democratic movement in fiance is still in its infancy. Its possibilities are almost beyond calculation and it forms the basis of our optimism. But optimism is of two kinds. There is the fatuous optimism of the ostrich, which hides its head in the sand and refuses to face realities, and there is the optimism of courage, determination and leadership which observes, analyzes and plans-which sees achievement within its reach. and grasps it. It is this reasoned optimism which animates the electrical industry today and tomorrow we shall reap its fruits.

It is a great satisfaction to serve the people but better still is the realization that the public is at last in sympathy with the healthy development of the electrical industry-let us see to it that this condition remains unchanged.

I would like to say also that it is a great pleasure to the officers of this Association to tell you that nearly 100 leaders of the telephone industry of the country are in attendance at this meeting, making the meeting of the Association, here in Atlantic City, for the first time, a cooperative general meeting of the two industries. We have with us public officials from all parts of the country, state commissioners, engineers of the states, secretaries of water power commissions and others who will take part in the meetings which are to be held here during this week. I have received a telegram which I will read at this time. It is directed to me, but I believe it should have been sent to Mr. W. S. Murray, who submitted the report on the Hydro-Electric Power Commission of Ontario. It is as follows:

“TELEGRAM FROM HAMILTON, ONTARIO

"HAMILTON, ONTARIO, May 15, 1922. "THE NATIONAL ELECTRIC LIGHT ASSOCIATION, "Gentlemen:

"The Hamilton Spectator questions the statement made in paragraph 9, page 2, of the Murray and Flood report, published by your Association, to the effect that electric power is being furnished at less cost to the people on the American side than we on the Canadian side of the Niagara River. This statement, we contend, is misleading, untrue, and its publication broadcast under the authority of the Association is unfair and distinctly harmful to the interests of the Province of Ontario at large and the Niagara district in particular.

"We maintain that there is no city in the State of New York where power can be had by the general consumer at such a low rate as in the city of Hamilton,

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tara ard that the average cost per kilowatt hour for tric light to consumers in the fifteen principal ms of the Ontario Niagara district, as published and set 1-rth in the annual report of the Ontario HydroPutra Commission is less than half the average base rate te electric light in any of the fifteen towns in Nagara district of the State of New York, as 4th in the annual report of the New York State Service Commission, and we invite you to retract The statement referred to, in fairness to the Power em saion and companies of Ontario, and in justice The interests of the Canadian-Niagara district

I will present this telegram to Mr. Murray, the or of the report.

I want to say to you men that a meeting of great stance is taking place here at Atlantic City this a meeting which brings together directors hurmen of the State Public Utility Informa

experiences, and it will no doubt have a beneficial effect on their work in the future It seems to us, who have studied the question, that publicity is the salvation of our industry, and I hope every execu tive here can attend those meetings, and encourage those who are devoting their time to our interests.

THE PRESIDENT: It is now my great pleasure to call upon a man, who, I believe, during the last three or four years, has been the most sincere-hearted worker in the whole NELA, a man who has given most unselfishly of his time, not only as a past president of the Association, but in various meetings, and in coming to headquarters to assist those who are in charge of the administration of the various activities of the Association I am glad to call on Martin J Insul, Chairman of the Public Relations National Section Mr Insull is from the Middle West Utilities Company of Chicago, as you all know.

in Committee These gentlemen are assembling
* conter with each other, compare notes and
Address of Chairman of Public
Martin J.

n of the Public Relations National Section g the administrative year has been to keep the et of committees down to a minimum, but ke their work as intensive as possible. The Pas therefore been carried on through the fol ght committees:

ons with Bankers Committee.

ty of State Regulatory Laws Commit

ing of the Industry Committee
vres Relations with the Public Committee
Speaking Committee

organization of Public Information Com

en's Public Information Committee Mfacturers Advertising Committee

ork of the Section we have not had the at we think is possible in that, while ry as a whole seems to very much ap the necessity of a better understanding part of the public of the problems of the the individual of the industry does not to understand that in order to accomle or she must make it their individual

k of improving public relations is not cal problem That can be worked inerts best fitted to solve that particular The solution when found can then be e in lustry as a whole without the in to concern himself with finding That is not the situation in trying e ear public relations All that the Pub National Section can do is to point wawards the ends to be accomplished through "ees studying the special branches of the It must depend for the final results on the a and cooperation of the individuals of When this cooperation is obtained,

Relations National Section
Insull

and the work done, the results are satisfactory in
proportion to the effort expended Unfortunately,
there does not seem to be that amount of effort that
the industry is capable of putting into this most
important subject

With full appreciation of those whose lines of endeavor are in other branches of the industry. it does seem upon close study that the two fundamental problems of our business are those of our public relations and the financing of our properties Of the two, that of our public relations is the most important, as upon those largely de pends our a'ity to finance People who have money to invest are not attracted to a business or a property to which the public is antagonistic Those in public positions are also very much atfected in their decisions by the feeling of their constituents As a rule they follow along lines that are the most popular In our own interests then we all should work towards the end of a constituency that understands and is favora'le to our business If we can obtain this result, we need have little fear as to the treatment we shall receive at the hands of the representatives of those

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