per cent. of the weight of the coal it carbonizes, salable as gas, coke, tar, and ammoniacal liquor. But when this energy is converted into light at the burner, a large amount of it is dissipated in producing rays of heat instead of light. To make this more clear, it may be stated that the heat per hour per candle of light emitted by a regenerative burner of the first class is about equal to 85 heat units, whereas, in the case of an electric arc light of the first class, it is not over 3 heat units. Thus the production of heat per unit of light is 28 times greater with gas than with electricity. But we remember with satisfaction that, while we deliver twenty-two per cent. of the potential energy of the coal to the burner, and utilize commercially nearly ninety per cent. of its weight, an electric light company, with the best boilers, engines, dynamos, and conductors, cannot deliver over five or six per cent. of the energy of the same coal to its lamps, and that it has no salable residuals left to reduce the cost of its fuel.

Now, when we consider the above in connection with the statement that the theoretical flame temperature of our gases, under constant pressure, is equal to at least 5,000° F. above their initial temperature, and due allowance has been made for the fact that this temperature is higher than can be practically reached on account of the dissociation of the gases, it becomes evident that there is a great margin left us for converting more of the invisible heat into light rays, and that we have, as yet, advanced but a step toward what is in store for us.

Whether the burner of the future will be an evolution of the present recuperative system; whether it will be dependent for its economy upon raising to incandescence a solid or gaseous substance in the flame; or whether some practical arrangemant can be devised so that the gas can be burned under increased atmospheric pressure, none of us can tell, although we know an advance is probable in all of these directions.

The electric light companies continue their efforts to obtain part of the lighting that has hitherto been done by us. Whatever progress they have made is due largely to the fact that by our present laws, and owing to the partiality of our people for the development of new things, no restrictions have hitherto been placed upon the electric lighting companies as to the manner of erecting their distributing systems. They also have the great

privilege of selecting their consumers, and they exercise it to the fullest extent. The ordinary consumers whose lights are in use but a limited number of hours per annum, and who collectively burn by far the larger amount of gas we furnish, are neglected and cannot be supplied with electric lights, while the comparatively limited number of consumers whose burners are lighted during many hours per annum, are eagerly sought after.

Particularly is this the case where the incandesence lamps are introduced. The cost of this system of lighting is largely dependent upon the time during which the lamps are lighted. A careful estimate, by an acknowledged expert in all matters pertaining to electric lighting, of the expenses of operating such a system, including all the items of cost, and interest on the investment, shows that there would be but a trifling difference in the cost of illumination whether the lamps were lighted 400 or 1,500 hours each per annum. While it would not be possible to compete with gas on the basis of a 400 hour consumption per burner per annum, yet with a basis of 1,500 hours and upwards, he claims that it could be done, provided the price of gas was maintained at a constant figure, whatever the duration of consumption.

Wherever introduced into our large cities this selection of consumers whose lights are burned the greatest number of hours per annum has been carried out. Although there are those who do not believe in differential prices for gas, still, to overcome this unequal competition, and to retain a class of consumption as valuable to us as any we have, it may be necessary to grade our prices. There are no insuperable difficulties in making our charges dependent upon the quantity consumed per burner per month. It is quite clear that a large reduction in the charge for gas used in the daytime is advisable, because the gas then used costs comparatively little for the interest on capital invested in gasholders, street mains, services, and meters. The running expenses, excepting those for coal, labor, wear and tear, remain about constant.

Similar conditions exist in the supply of gas to consumers all of whose burners are lighted many hours per annum. There are good reasons; and these are the reasons why the electric light companies select this class of consumers; irrespective of com

petition on such unequal grounds, for discriminating favorably in our charge to a consumer who is served by a three-light meter, and who uses the same quantity of gas per annum as another who is fitted with one ten times larger.

The subject of photometry has received much attention of late, and there appears to be a desire abroad to do away with the old standard; but the difficulty is to find a substitute that will be as acceptable, when simplicity and trustiness are considered, as the standard candle. Any standard adopted must be one that can be readily comprehended by the public we serve.

There are advocates of the French standard, the pentane standard of Mr. Vernon Harcourt, the Methven standard, and even that of Mr. Violle, with all of which you are familiar. All of these standards depend for their accuracy, irrespective of reliability, upon the equality of the vision of the observer or observers, and it is well known that this is not constant. The same eyes may make an observation in the afternoon of the same gas with a perfect standard that will differ from that made in the morning to a greater extent than would be caused by a standard of comparison that was moderately imperfect. If an instrument could be devised that would eliminate the personal element, and indicate mechanically the candle power, it would be a very great advance on what has been hitherto accomplished. We are to have a paper on this subject by one of our members eminently qualified to instruct us, who has invented a self-registering photometer that is based in its action upon the principle that the effects produced by radiant heat and light are identical, and we look forward to its considertion with great interest.

Our industry has passed through many trials. It has been threatened with extermination by rival systems of lighting; it has suffered from the infliction of burdensome and unjust taxation; it has been subjected to most unjust and unreasonable prejudice at the hands of the public. We have been covered with unmerited contumely and abuse. In spite of all your interest has been, and is, successful, and stands to-day, in the financial centers of the world, unrivaled as affording a permanent and remunerative investment. Notwithstanding these apparent signs of prosperity, there is an element at work in our own midst that threatens eventually to destroy, as it has already crippled, our capacity to

profitably furnish light without serious danger from other systems of illumination.

Reference is made to the existing and active combinations of unprincipled speculators who, by every known means, are imposing on the public, and endeavoring, for entirely selfish ends, to build and sell, but not to permanently operate, gas works in every city in our country where entrance can be had.

This evil was never so rampant as now; it is our great danger, and threatens, not only to ruinously overburden our industry with unnecessary and wasted capital, but also to make successful competition with other systems of illumination difficult, if not impossible, with profit.

It is cause for sincere regret that so little has yet been done towards the regulation by the State of the profits, duties and privileges of gas companies, and towards the protection of their property, invested in good faith and in such a manner as to be useless for any other purpose.

We regret that more prompt legislative action was not taken in the State of Massachusetts, whose principal city had been supplied for many years by one company that, without legal restriction or control, and unthreatened by raids upon its property, had adopted and carried out the policy of supplying the best gas at as low prices as were consistent with what is recognized, among conservative financiers the world over, as a moderate return upon the capital actually invested. Notwithstanding this condition of affairs, and the absolute demonstration of its great superiority to the municipal authorities, the latter, without regard to the interests of the consumers, and in the absence of laws such as are provided in other civilized countries, granted the right to open their streets to so-called competing companies, and thereby forever fastened a greivous burden upon every gas consumer in their city.

This action of the municipal authorities has shown most clearly the necessity of placing the determination of the serious questions regarding the supply of gas in the hands of intelligent and unbiased men, appointed by the State, who would have the time to thoroughly consider them, and who would be honest and capable to act as arbitrators between the public and corporation.

Our relations to the public are more peculiar, close, and intimate than those of any other corporations.

The principle is now universally recognized and acted upon among ourselves that our consumers are entitled to receive the best service we can render, and that our charge for this should be only sufficient to cover its cost and secure a fair dividend for our stockholders upon the capital actually and prudently invested. But however desirous we may be to carry out these principles, the fact remains that man is a suspicious animal, and prone to think that the selfishness of his fellow-man will lead him, when uncontrolled, to take undue advantage of his opportunities.

It is not creditable to this great country that we alone among civilized nations permit a system that inures solely to the pecuniary advantage of speculators, who place the permanent burden of dear gas upon the public they have so easily cajoled.

No argument is required to prove that competition in the manufacture and supply of gas is impossible. Experience teaches without an exception, that "where combination is possible competition is impossible, and in every case has resulted in consolidation, division of territory and an agreement not to compete, the pooling of profits, or in the extermination of one of the companies, followed by an increase in the price of gas to consumers to compensate for losses and to pay dividends upon unnecessary and unproductive capital.”

There seems to be but one complete remedy for these evils, and that is placing our affairs under legal control, so that the public will know that it has a representative compelling the company to furnish the best service at reasonable rates, and the company will know that, as a consideration for these services, it will be entitled to receive a fair return on its capital and enjoy a permanent and secure franchise not subject to attack from speculators or adventurers. It is probable that this question will come before us during our present session, and your earnest and undivided attention will no doubt be given it. We have had the matter under advisement for several years, and it is to be hoped that at last something definite will be accomplished.

We miss from our ranks to-day our former friends Thomas Butterworth (your Second Vice-President), George Cornell, and Francis Thompson, who have been active members of the Association. They were well known and long identified with the gas industry, and their loss is deeply felt by us. We shall commit to