OCR Text |
Show Recapitulating these two tables, we see an inter- esting picture. South of a parallel of latitude extending along the northern boundaries of North Carolina, Tennessee, Arkansas, and Oklahoma, to the western boundary of New Mexico, there are 11 States in which the preference provision of Federal power marketing policy, together with that of certain State agencies, has been directly or indirectly influential. Excepting only Florida, all of them show rates of private companies to rural electric cooperatives averaging less than one cent per kilowatt hour. With one additional excep- tion the range is from about two-thirds to three- quarters of a cent. North of the line, extending from the Atlantic Seaboard to the western bound- ary of the Dakotas, the equivalent charges range generally from one cent up to nearly one and one-half cents. The average rate charged rural electric co- operatives by private companies in all States north of the line is 1.1 cents as compared with 0.72 cent for those south of the line, a difference of 0.38 cent. If the cooperatives in the Northern States could obtain their power at the average rate pre- vailing in the Southern States, they would save $7,275,000 a year based on present levels of con- sumption in the North and $13,575,000 based on average sales to members of rural electric coopera- tives which have been in existence for 10 years. If this saving were passed on to farmers purchas- ing the energy, it would mean a reduction of $13.68 per year in their bills for the larger average service. On the Pacific Coast, where there are active Federal programs and where important munici- pal power systems have provided public com- FEOM PUBLICLY OWED SUPPLIERS 2 billion kwh Average cost .67jf per kwh COST OF ELECTRICITY TO REA COOPERATIVES At Wholesale, Fiscal Year 1949 cost per kwh .81 and under .8-1.2* over 1.2ji no service FROM POWER COMPANY SUPPLIERS 3.5 billion kvrh Average cost 1.02<perkwh Small map: bla«k indicates no energy bought from public ly owned suppliers Large map: bla ck indicates no energy bought from private power companies Source: Rural Electrification Administration FIGURE 16. 239 |