S.M.C. has approved an application of the Shanghai Power Ca. for increasing its surcharges by the imposition of a temporary surcharge on basic rates such surcharge to be 50 per cent, based on an exchange rate of U.S.$5.25 to C.$100 for consumption periods ending on and after July 1 for all services. The Council also has approved an increase on the surcharge of the Waterworks Company on its basic tariff of charges from 110 to 250 per cent. for accounts ending on and after July 1, according to official communiques issued by the Council yesterday.
The Council has decided to recommend that minimum charges levied by the Power Company be reduced to 70 per cent. of present charges to be further adjusted according to circumstances. It was also decided that the Gas Company should retain the present minimum charges, unless a reduction in consumption is enforced when minimum charges would be correspondingly reduced.
At a recent meeting the Council endorsed a recommendation of its Tublic Utilities Committee that approval be given to proposals of the Gas Company to prevent consumption of gas from exceeding that of 1940 owing to uncertainty regarding fuel ies, The company was auth-increasing its charges by the imposttion of a temporary surcharge on the basic rates for the supply of electrical energy to all classes of service. in addition to the existing exchange and fuel surcharges, such surcharge in addition to ihe existing exchange to be 5p per cent. based en an exchange rate of US$5.25 equals Chinese $100 and adjusted upwards or downwards monthly by agreement between the company and the Council in accordance with the procedure adopted in respect of the exchange surcharge. This new surcharge will be applied to accounts in respect of consumption periods ending on and after July 1, 1941, and is subject to various conditions which ihe com-
1—To refuse from June 1, all applications for new industrial and domestic supplies in cases where a change o use of gas is desired for reasons of economy.
2—To limit from consumption per-lods beginning on and after June 1, the monthly consumption of gas to a quantity not exceeding the consumer's consumption for the corresponding period last year. Where it would be impracticable to do so consumption will be limited with reference to the preceding consumption period or where this also is found not practicable, to the company's reasonable estimate of requirements, having regard to the number of persons in the household and the appliances used. Excess consumers of such limit will be charged for:
(a) For a first excess of the limit for a month, twice the prevailing price.
(b) For a second excess of the limit for the same period, three times the prevailing price.
(c) For a third and subsequent excess of the limit for the same period, four times the prevailing price it being understood that the excess consumption thereby penalized need not be in consecutive months and that a ten per cent. margin of tolerance be allowed subject to 1, that the measures are temporary and subject to revision or cancellation at the request of the company or the Council; 2, that consumers be informed individually by the company of their permitted monthly consumption; and 3, that the sums paid in excess of the prevailing price be credited to a reserve account to be used as may be agreed upon between the company and the Council, for the benefit of consumers,
Text read from the printed page and cleaned; old type leaves the occasional error.