practically has been unanimous for several years, but on which little progress have been made. The first is that the committee believes that in grounded systems the neutral or grounded wire should be solid from the generator or transformer to the lamps except so far as regards switches that may be needed for testing purposes. There should be no fuse even on the grounded side of the two wire tap from three wire systems. In the opinion of the committee this will increase safety besides reducing the cost of the wiring by allowing the omission of fuses that in the opinion of the committee are unnecessary and which, in case they operate, introduce thereafter a distinct danger. There is a further possibility of saving by using less insulation on the grounded neutral wire, which will still leave the factor of safety far higher than the factor of safety now found satisfactory on the outer or potential wires. The second detail method of improvement in wiring is, in the opinion of the committee, the fitting of the size of the wire to the maximum load rather than to a theoretical manufacturer's rating of the current using devices, a rating which is usually more than the actual maximum load carried by the wire, though, in some cases, it may be distinctly less. While the committee has been unanimous for a long time that these two items, among others, should be introduced to and made part of our general practise yet the difficulty in the introducing and advancing of these improvements is that though they are required in a number of places in the United States and elsewhere, yet they are in opposition to parts of the present National Code and in opposition to the present practise of some inspectors. The committee does not wish to put itself in a position of conflict either with the inspectors or with the committee that draws up the National Code, believing that the inspectors and others all honestly desire to have the best conditions possible. We recommend, therefore, that all interested should, in cooperation with inspectors, arrange to get the special approvals needed in order to have as many installations made as possible in accordance with the methods which the committee above outlines as in its opinion desirable. The results. will be that in the course of time these better methods will become standard practise and will be permitted wherever conditions warrant. Section IX Relations Between Circuits, Floor Area and Number of Outlets The first of these relations is the one that is used in Chicago and a number of other places where there is a requirement that residences shall be wired on the basis of so many watts per foot. There is, however, a considerable misunderstanding from time to time as to what is meant by the watts in this requirement. Usually, the watts per square foot are on the basis that each circuit of wiring carries, say, 660 watts. It is, however, well understood that the nominal connected load to a circuit may be considerably less than this, or in some cases may be more, and also that the actual load carried on a circuit protected by a 10 ampere fuse may often be more, and often is more, than 660 watts. It, therefore, becomes clear that the actual intent of the rule which says 34 of a watt per square foot, when coupled with the idea that a circuit is 660 watts, can be better expressed by saying that there shall be at least one circuit for each 880 square feet. This avoids any ambiguity. The advantage in laying out wiring on some such basis is very clear since if the circuits are laid out so that no circuit is called on to supply more than, say, 880 square feet of area, then in practise this will allow for later additions of convenience outlets at various points. On the other hand, if a circuit is laid out to cover much more area than this, or perhaps it would be better to say, if a circuit is laid out to cover too great an area, then as the use of electricity increases and the customer desires to have more outlets and to use more lights and appliances at the same time, he soon finds that in order to carry the load it will be neccessary for him to wire up additional circuits, something which is very much more expensive than to add outlets to existing circuits. 880 square feet per circuit is now a figure used in a number of places. In some particular kinds. of houses or businesses it may be too great and a figure of perhaps 600 square feet per circuit, which would correspond under the old terminology to one watt per square foot, may be better. In some business places, a still higher use of electricity may be indicated, that is, a less number of hundreds of square feet per circuit. Likewise, in some rooms and places that are used for such purposes that the demand for light and for convenience use of electricity will never be very great, it may be good practise even at the start to arrange the circuits to supply a much greater area each. In view of the uncertainty as to what figure of number of square feet of floor area per circuit should be recommended by the committee for different conditions, it is suggested that all members of the N.E.L.A. and others interested should check up their own houses and offices to see what number of circuits they have in proportion to the area and to see whether this gives a satisfactory layout or whether they could, and practically have, gotten along satisfactorily with a less number of circuits. or whether they really need more. The above discussion refers to the present standard circuit limited to 16 outlets and protected. by a 10 ampere fuse. The special 1320 watt circuit of 14 wire throughout keyless sockets to which 32 outlets may be connected, can if used at all wisely be used to cover a larger area than the ordinary circuit. A closely parallel and yet distinctly different. question is the number of outlets that are needed. Of course in every room at least one outlet is needed for illumination, whether this be a ceiling outlet, a bracket outlet, or a wall receptacle into which a floor lamp or table lamp can be connected. As one outlet will always be needed for illumination, it is clear that in every room there should be provided at least one additional outlet and we say this although we realize that a very high percentage of the rooms now wired in both cities and towns have only one single outlet provided. However, it would seem as though two outlets to a room should be the absolute minimum. For rooms of large size, say over 200 square feet in area, it is probable that more than two outlets should be provided, and it is suggested that a basis. of one outlet for each 100 square feet of area or fraction might be considered as a reasonable standard with two outlets as a minimum even in a small room. This from some points of view is a low number. For instance, in even a small dining room, there should probably be provided at least two convenience outlets, one of which would be used for the percolator and the other for the toaster, and in addition a third outlet is needed for illumination. On the other hand, a minimum of two outlets per room and a provision for an additional outlet for each 100 square feet over 200 will in the average house or apartment increase the number of outlets so much that it seems unwise to ask for more than this until the general existing average has been raised considerably. In respect to this, as in respect to the number of square feet of floor area per circuit, the committee is not as yet ready to make any formal recommendation, but again suggests to the members of the N.E.L.A., including the individual B members, and to others interested, that they should check up their own houses and offices to see how many outlets per room are provided and whether the number gives them a reasonable number of convenience. outlets or whether they are going to have more outlets in as soon as they can arrange for the expense. This will very likely lead to, a classification of rooms. Section X National Code The committee, as usual, has been very much in CW ABBOTT H CALVERT terested in the questions of the code. Its hopes, as expressed in its report last year, that the new method adopted by the Code Committee for the consideration of new plans and new developments would lead to quicker action, have not as yet been fulfilled, but the committee is taking up through the insurance expert of the Association who represents the Association on the Code Committee, the question of whether something can not be done along the lines of the recommendations that have formed part of the report of the committee for several years. Section XI Wiring Section for the Salesman's Handbook The committee, through a sub-committee, of which Mr. G. E. Miller, vice-chairman of the committee, is chairman, has been cooperating with the Handbook Committee in the preparation of some matter in regard to wiring to be incorporated in the Salesman's Handbook. Section XII Flat-iron Fires While some manufacturers are working on automatic devices to reduce the danger, the committee reiterates its point of view as expressed in an interim report that education of the user through the central station, dealer, manufacturer, inspector and underwriter, is the best means to reduce this danger. With this in view, we have cooperated with the Publications Bureau in the preparation of another pamphlet of instruction to be supplied with flatirons and similar devices and we recommend to members to use all practicable means of educating users of flat-irons to the dangers of improper use of this excellent tool. THE PRESIDENT: This completes the program for this morning's session, and I thank you very much for being in the hall at 9:30 o'clock this morning. Tomorrow morning we are to have a very long JA HUNNEWELL C RENSHAW E M SMITH program, and I would desire you all to be here on time, so that we can begin promptly, which I will very much appreciate. (The meeting then adjourned.) Second General and Executive Session THE PRESIDENT: The first business on the program is the report of the Committee on Company Employes Organizations, of which David Darlington, The New York Edison Company, is Chairman, is Chairman, but in his absence Mr. R. T. Schuettge, of the Commonwealth Edison Company, of Chicago, will present the report. I Report of Company Employes Organizations Committee. Following the recommendation made in the last report of the Committee on Company Sections, that Committee was discontinued and the Company Employes Organizations Committee was formed. This Committee was directed "To foster the activities of company employes organizations." This change was recommended as many "Class A" members had employe organizations other than Company Sections of the National Electric Light Association, which organizations, under the previous arrangement, were not receiving any attention from the National As sociation. The Committee decided that its work could be of an advisory nature only, and divided the work under the following subcommittees: "New Organizations"-W S KLINE, Chairman, Commonwealth Edison Company, Chicago, Ill. "Education"-D C BRUCE, Chairman, Consolidated Gas, Electric Light & Power Company of Baltimore, Baltimore, Md. "Handbook"-R T SCHUETTGE, Chairman Commonwealth Edison Company, Chicago, Ill. "Publication"-E A BAILY, Chairman, Brooklyn Edison Company, Inc., Brooklyn, N. Y. The New Organizations Subcommittee communicated with all "Class A" members who, according to the Committee records, did not have employe organizations, offering, if desired, the help of the Committee in organizing their employes along lines that had proved successful in other Central Station Companies. Those "Class A" members having employe organizations other than Company Sections were requested to register their organizations with the Committee, so that they could be tied in with the National Association. The Education Subcommittee made a study of the educational work carried on by the various companies through employe organizations, and offered to advise any member company along these lines. The Handbook Subcommittee, through a questionnaire, has obtained details of the various forms of employe organizations, the methods used when first organized, their scope and methods of operation. These data are available and will be turned over to the succeeding Committee for their information. The Publication Subcommittee was charged with giving publicity to notable occurrences in employe organizations, and its Chairman served as Editor of the "Employe Organization Section" of the N.E.L.A. Bulletin. During the year many interesting articles were published. These told of meetings, outings, educational activities, Savings and Building and Loan Association work. These articles have been instrumental in demonstrating the possibilities of cooperative effort through employe organizations. The Bulletin work is a feature of the Committee's activity greatly appreciated by members interested in employe organization work, and as it is the only means of keeping those interested in touch with what is going on in employe associations other than their own, every effort should be made to develop this Section of the Bulletin. The experience of the Committee has been that the most successful employe organizations are those that embrace within their scope all activities designed for the employe's benefit, such as education, recreation, savings and insurance, so that there is no duplication of organization with its resultant diversity of interests. The Committee feels that with the completion of the organization of the Geographic Divisions and the part that the local companies will take in those Divisions, the interests of the rank and file in the National Organization will be greatly increased. This feeling is based on the opportunities which will then be presented for active participation in their Division work. The Committee wishes to make it clear that the work that can be done by a national committee in employe organization is very limited, as it must be appreciated that such a matter is purely local, and company policy, to a very large degree, must determine the scope and activities of a company employe organization. The Committee wishes to point out the immense value to companies of lively, well-developed employes organizations, and feels that those companies who have no such organization, or whose organizations are dormant, are not making use of an opportunity to develop an asset which should prove of great service. THE PRESIDENT: We will now have the report of the Committee on Rate Research, Mr. Alex Dow, of The Detroit Edison Company, Chairman. I am sure Mr. Dow needs no introduction from me, as he is as well known to all of you as he is to me. Report of Rate Research Committee The Rate Research Committee directed its efforts during the past year especially toward the betterment of its services to the members of the Association through the publication of Rate Research and the Rate Book, and by responding to inquiries concerning rates and rate methods. Publications Until a year ago the publications supervised by this Committee were prepared in Chicago. In April and May of 1920 the work was transferred to the Association Headquarters in New York. This made an increase in the cost of printing and a decrease in incidental and overhead expenses. Its advantage was in the betterment of service, by making available all Headquarters facilities for our special work. Rate Research continues to be published weekly, with some minor modifications of form tending to greater convenience. It is the most prompt of all publications in reporting important rulings and decisions. In September Mr. Charles E. Neil was appointed Editor. His experience and ability are such that we look for continued improvement in the publication. Mr. Neil also deals with the inquiries concerning rates, rulings and decisions which are received by the Service Department. During the last year over 200 such inquiries have been responded to by mail, many of them from State Commissions seeking citations of decisions or references to authorities. The Rate Book continues to be under the direction of Miss V. F. Barnes, who has been in immediate charge of it since its beginning. The 1920 edition has long been exhausted. The 1921 edition is being enlarged to include cities between 20,000 and 25,000 population. The Rate Book division is also called upon to prepare replies to many inquiries regarding specific rates and rate methods. The Rate Book is not only an indispensable reference book, but is, through its supplements, a current history of adaptation of rates to novel conditions of service. Circulation of Rate Research At the present time there are only 200 Member Companies on the subscription list of Rate Research. These subscribe to a total of 314 copies. Some companies take one copy for the use of an executive or of a legal adviser. Others take a number of copies for department heads and district managers. It is the unanimous opinion of the Committee that Rate Research should be received weekly by every Member Company and that, to this end, one copy should be furnished as a part of the service covered by the annual dues. The added cost would be very much less than proportional, the total increase being estimated at $1,066. Assuming that most of the Member Companies now subscribing would each of them discontinue one paid subscription, the loss of revenue is estimated at $1,800, which, added to the increase in expense, would make a total of $2,866. Against this it is our opinion that the number of supplemental subscriptions would be largely increased because many more Companies would want two or more copies. We earnestly recommend that this action be taken. We believe that the interests of the industry at large will be well served by it. We also believe that among the Member Companies to whom an annual subscription of $10 is a subject for serious consideration, are many of those who are most in need of the information and the education which it is the purpose of Rate Research to provide. The present exchange and complimentary list of subscribers would not be altered. The magazine is furnished to the several State Commissions in exchange for their furnishing us with copies of decisions and reports. It is also furnished to other officials to whom the information in the text of the magazine will be helpful. The fixed purpose of Rate Research, to provide prompt, brief and absolutely truthful digest of important rulings and decisions, is fully appreciated by those who are on our exchange and complimentary list. Rate Theory and Methods-Coal Clauses No novel rate theory has been propounded during the year. Publications which have been noticed by us are new presentations or discussions of principles which already have wide acceptance. The movement toward standardization of rate methods continues, notwithstanding conditions which have caused the perpetuation of war expedients in the way of surcharges, etc. The Coal Clause, whereby a rate varies by rule according to the periodical variations in the cost of coal, continues in use to an extent which reflects the continued instability of coal prices. The days have not yet returned to us. when a company could contract for a year's supply of good coal with abiding hope of receiving the quantity at the contract price. The Coal Clause tends to become annually, less of an expedient and more of an accepted method of making fair rates. Power Factor Rate Clauses The Committee takes occasion to repeat the opinion expressed by it and adopted by the Association a year ago, as follows: "It is the sense of the Rate Research Committee that loads of unreasonably low power factor and unbalanced loads on polyphase systems, should be considered by Member Companies as interferences with good service preferably to be prohibited; rather than as variable factors in the cost of the service, to be compensated for in the rate charge. And, further, it is the sense of the Rate Research Committee that when a Member Company considering furnishing service at low power factor or unbalanced between phases, decides to supply such service under a contract or under a filed schedule containing a Power Factor Clause (so-called), the rate charged under that clause should be such as to permit full compensation to the company, while affording inducement to the customer to secure correction of the low power factor, or of the lack of balance." Progress made during the year has not been toward unification of practice. We still lack an accepted definition of power factor. Most of the clauses in use provide that the adjustment of rate shall depend upon "average power factor under ordinary operating conditions," which phraseology is excellent as an expression of good intentions mutually understood, but would permit much wrangling in case of disagreement. No Commission or Court ruling has been had on the subject. The opinion of the Committee is that national uniformity of practice in the formulation or application of a power factor rate is not likely to be obtained in the near future. It is indisputable that loads of unreasonably bad power factor must be eliminated or penalized, in the interest of our service to all our public. The proof of the injury to service in any specific case is simple and complete. But to make the punishment fit the crime is not a simple matter, even in a proven case. This Committee not only cannot offer any rule for all cases, but takes occasion to caution each Member Company against the assumption that the rule or practice used by any other company is applicable to its own case. Our members who have suffered most from bad power factor, namely, those whose plants were overloaded last year with industrial power, have at the moment sufficient capacity to take care of any kind of load and are, most of them, in no mood to be exacting. We now remind them that last year's troubles due to low power factor will return some day. We would further suggest that if, and when, they shall be able to consider rate reductions, the season of such consideration will be an appropriate one to deal with this particular problem-that is to say, the possible reduction of industrial power rate (if any be possible) should be conditioned on betterment of power factor. Electric Cooking—Domestic The electric range continues to become more popular, and thereby to become a common rate-making problem. Its convenience and cleanliness are great merits in the eyes of the good housekeeper. Where its cost of operation begins to approach the operating cost of other available types of ranges, the electric range will sell itself, with the assistance of the national advertising of the range makers, whether the central station invites it or not. The Committee continues to hear of cases where members have in the past made rates applicable to electric cooking in residences, without full consideration of the theory of rates or the facts of the problem, and where the resulting sale of electric ranges has established what we may call a vested right to continued service at an ill-considered rate. In some such cases, if the rate originally filed has not been mere guesswork, the Company has assumed that only increment costs should be charged to the cooking service. The one warrant for making a class rate based upon increment costs is a reasonable expectation that additional service attracted by the low rate will enable the whole class to pay very soon its full share of operating costs and depreciation, and in the near future to make its fair contribution to the reasonable profit earned by the Company. While it is lawful to make an increment rate, the Supreme Court of the United States, in the North Dakota Lignite rate case (7 Rate Research 79), held that no State can require a public service corporation to make such a rate. The evident implication is that the Company making such a rate does so at its own risk, taking all the chance that the future will justify it, and that it will never be allowed to spread over its other business the effects of an error of judgment therein. There are likewise omissions of facts and errors easily made in considering this problem. Beginning in 1917, this Committee has taken occasion to warn members against these. It seems well to repeat the warning once more, as follows: The use of the electric range for cooking the evening meal does coincide, in many localities, with the first part of the evening peak of residence lighting. Also, there is in some communities (particularly suburban communities) a drift toward making the evening meal the principal meal of the day, rather than the noon meal. It is essential to maintain full voltage if satisfactory service is to be given on electric ranges. The housekeeper who will not observe that her tungsten lamps are slightly dim in the first part of the evening will make prompt complaint about a slow oven. The range of voltage variation which is tolerable with tungsten lamps is greater than that which is permissible for cooking. The cost of increased capacity required by the overlapping of loads, the cost of full voltage in the early evening, and closer voltage regulation at all times, should not be overlooked in figuring costs of service for rate making. We all know that any probable number of 600-watt domestic flat-irons can be used on house lighting circuits without added circuit capacity or better regulation, but domestic ranges requiring three to six kilowatts. apiece are quite another story. There is no question as to the value of electric range business. Our caution is against undertaking that business at rates that do not take due account of all costs, or that unwittingly commit the Company to a (so-called) increment cost rate for years to come. Respectfully submitted, RATE RESEARCH COMMITTEE ALEX DOW, Chairman, JOHN W LIEB W G VINCENT, JR |