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To Gaa Consumers, a brief narrative of the progress of (ias manufacture in Toronto, may prove not only interestin^•, but instructive, particularly in the near prospect of a new work beinj^ erected. In 1841, the (.'ity Corporation fj^runted, at ii nominal rent, a forty-tv/o years' lease of a Water Lot, G6 feet, fronting on Palace Street, and extending several hundred feet South to the line of navigation, to Albert FurnLss, Kscp, and others, known as the 'I'oronto (J!as Light and ^Vater (Jompany, expressly for a Gas Work. On this was erected a plain but substantial house, containing probably 20 to 30 Retorts, capable of producing 50,000 feet of Gas every twenty- four hours. The price of (jas. frequently very .mpure and unwholesome, was .1?:') per thousand feet cash, and was the subject of much dissatisfaction and complaint. At length, on the 29th October, 1847, a number of gentlemen organised them- selves under the presidency of the late Charles Berczy, Ksi]., and formed the Company now known as the Con.sumers' (Jas (Jompany, for which a charter was obtained, and among ;hers for the following reasons :— " Tliat the great " demand for a cheap and «i!ective mode of lighting the streets and places of " the said City, as well as the houses and sliops, that more than one Company " should be established." Thus ignorii»g monopoly. It was further provided that, " the Stockholders shall not divide more than 10 per cent, annually," in order that the Consumers should enjoy the benefit of any surplu.'j by a corres- ponding reduction in the price of (.las. A (Jas Engineer was employed, plans and specifications obtaiiUMl, and sent to not fewer than twenty Iron Works in the West of Scotland. (Contracts for a large portion of the castings were received and accepted, at prices low beyond all precedent in Canada, which was no sooner known, than proposals were made by the Toronto Gas Light and Water (.\)m- pany, to sell out that concern and take in part. Stock in the new one, and the balance in their debentures, which offer was finally accepted. 'I'he price to be given for the works was considered by the Engineer double their value, as a few months afterwards ])roved. Owing to the judicious reduction of 20 per cent, in the price of Gas producing a growing demand, the mains to render them effective had to be replaced by others of greater capacity, throughout their extent, and much of the apparatus recpiired enlargement. In 1850, a further reduction of U% per cent, took place, thus the descend- ing scale worked wonucrs, and infused fresh vigour among the citizens. The Directors' Report of 1851, has the following :— " In consequence of the " increased consumption of Gas, the Directors were happy to have it in their " power during the past year, to make a further reduction of 10 per cent., thereby DY. 3 manufacture icularly in the )rty-t\vo yeans' endiiif^ several liss, Ksi]., and xpreasly fur a 3e, containing every twenty- esonie, was $^i iiul complaint, 'ganised tliem- lul formed the liich a charter riiat the great and places of one Company ther provided . aunually," in 13 by a corrcrf- nployed, plans 1 Works in the re received and vas no sooner I Water Com- f one, and the he price to he eir value, as a tlon of 20 per ains to render J, throughout IS the descend- izens. equence of the ave it in their r cent., thereby 8 " reducing the cost to 1 5s. per thousand feet, or 40 per cent, below the price charged " before the pi-esent Company assumed the works, besides supplying Gas of a " purer quality ; and should the increase in the consumption of Gas continue " in the same proportion, it is reasonable to expect that a still further reduction " may be made." The Directors further report that they have purchased the lease of the adjoining lot to the West of the Works, of similar dimensions to the former, that a new Gas holder is being erected, and that this additional ac- commodation will answer all the purposes of the Company for several years, as it contains sufficient space for a large increase of machinery. The Report of the Directors for 1853, contains the following paragraph :- "The number of new consumers or the books of the (Company during the "past year, amounts to 200, showing an increase of 40 per cent.,-the tota "number at the present time ]^eing over 700. In fact, since the reduction ol "<;asto 12s, (id. per thousand feet, the prospects of the Company have been " most encouraging ; and if proper economy continues to be observed, your Di- " rectors feel confident that the affairs of the Company will still prove prosper- " ous : and notwithstanding the many reductions that have been made, the di- " vidends will be paid regularly as heretofore." Thus far the concern seems ''^''^TtTs a recognised axiom, that as demand creates supply, so does it diminish expense of manufacture. To illustrate how far this is the case with the Con- sumers' Gas Company of Toronto, reference to the subjoined accounts current, and balance slieets for 1853 and 1859 respectively, will show-the first with Gas charged 12s. 6d. per tliousand feet, and paying 10 per cent, dividend-the latter ^vith Gas charged IGs. 8d. per thousand feet, and paying 8 per cent, dividend only. The Stockholders In account with the President and Directors, for the Year f ijding 30th September, 1853. Dr. ^ To Gas Ki;iital, 700 Colisiiincrs at 12h. 6(1. JUT M. lfOt,l)isi(lo.s I'ublio IxuniiK ToOtliil sold To KitlingK ToMftcrs 6,256 12 "1.57 7 361 3 2 12 2 10 1 £7,077 15 6 DISBUKSKMKMV. £ f. P. Hy Coal lor 1853 1,818 19 2 Kv Sundry ExiieiiKCH o'Loc o 7 By I'lolit, oarriod down 0,0^0 z i To Profil, 1S''2, ((irward 1,300 IJ' I'j Tn An hrniiL'htdown 3,526 2 ( To do brought down ,£4,820 13 5 To 'profit to «cw acc' ;ount £1,530 By Dividend of 10 iicr cent. By Intort'ston Bonds and Ucb( By Compi'nsation to Uirertori By I'rotit Suiiiliis £7,077 15 6 £ s, 2,205 3 ■? 1,010 12 80 12 . 1,,530 5 n. 6 3 6 2 £t,826 13 5 Balance Sheet for 18.W. i« MAH11JTIK<. Tr( R(p|i,is (0 (ins iind Water Co'y. 'I'd rirlv'iiiiircs T afc'iitiiils To rfcilinici! nirricd down ', , 12,001) •2 ,'.'00 . 5 ,'.'7 7 14 tl.tWii 'J.5,.30O .-i £.')l,.'jlO 1(1 s £ S-. r>. By (Jciioriil (tiitluy on Works 40.9;t5 tt 6 Hy Small's Wlmrl' yOO Hy \Afi on Toronto street, atnonnt. I'i'i'' op 106 10 1 ^y HuildinK 1 ,531 1.5 4 Hy Furniture, Ollici! and Slioji Kix- , ''ires 235 jfi 3 hyTool.s (,() ,) ,, Hy Fittings i^soo o ".V (.'oiils .j.fti^a 12 ti »y<'as^li 19 8 2 By Hiink 111' Montreal 40 s 9 »y M^l'i-f* 6H.5 8 a By Sunilry Aci'ounis 1 .Oft.'t By Sundry loi Rent LUSO 10 11 By Sundry for Wnrkmanshii viOO By Sundry lor Fittings 750 .^51,510 19 8 Jw 8 It Ocl. l.lSSy, Halaneo brouf.'ht down Kl'.Mt Shares of Stock, luiid up 21,237 10 "01 do £8762 10 Less Instalments, not yet, I^ti'l 6140 „ „. •■^,fi22 10 1 refit as per account 1^530 5 2 B'i'"-n<;c £25,390 6 2 The Stockholders in account Kith the President and Directors, for the ^car ending 30th September, 1S5». _____ Vr, ItKCFII'TS. To Hf nt I7f« Consumers at $3 33 1.,' fier •r \';i';^f'<''^i'i' «'•«■! Public Umps.. lll.liSl 18 .'.">• i"i"r;s ^">M '7SS Ki 'I'l Olncc l{ents. .')t)2 tiO $119,708 .-)9 l)ISItll{SK.MK.Nl><. $ CIS By < 'oal Inipoi-ted. ls.',9 33 048 56 By Sundry K.\|ienses 34 033 08 By 1 Yofll , carried down 52!626 05 $119,808 6<» To I'rnfii, from 1868, snrplu5 To I'rollt, from above * '■'■■• $ CIS. 15.074 M By Dividend, only 8 per cent 31 ,986 85 62,626 05 By Interest, Bonds, Debentures, and Mortsrages la^ng cr By Directors' Compensation 1,412 00 By vote to President 600 00 By Balance to new nccou'it; 20,581 88 $07,700 311 To Balance, siirplus profit, from nbove. $20,581 88 .$67,700 39 £ s. II. 40.9.(5 It 6 uOO iinoiiiit. 106 10 1 1,531 15 4 •|i Fix- 2;i5 16 3 '.») (> 1,500 -J.o'ja 12 t! 19 8 2 4(1 8 6H5 8 a 1.05.'t I,:i5!) 10 11 200 750 .^51,510 19 8 X 8. ji. i down 21,237 10 ! 10 3 2,622 10 1,530 6 2 ....£25,390 5 2 tors, for the €r. ? flS. 33,048 5ti 34,033 98 52,626 05 $119,808 59 $ (IS. 3J ,986 85 s, Htid 13,119 06 1,412 00 600 00 20,.581 88 .167,700 39 Balamc Sheet for IMft. I I.IAMlI.ITIiy. To HoiiilH, lo (inn Light & Wiilif Co. . . Til lU'liciiHirt'H To Mortk'iigcH To nil Ik I'ayiililc To Sundry Acconntf To Bitlani-c, ciirrifd down As^iny. 4s,00(t til.OOO 14.000 is,i:n 13,fpH6 , 4'JO,.j8l IS. 00 00 00 S8 $ (tS. ,486,271 28 7,323 68 $57 8. '.'.99 65 Hy Ci 111 niMi'iiliiy ou Works nV l..ii (ill Kiti>,' Mrc'l , Hy l.oi '10 Toronto f'lr.'i'l -"r. V: nV niiildiuu- Hy Ciish Hv lt:ink oi rpiifr Caiiidii li'y Hills I'.cccivMtdc By Coal By Meters Hy Kittint^s Hy TiM.ls Hy Kiirniiure , Hy Sundry Aee.mnts. ..,-i^ ' ^ Hv Sundry Accounts, Kir Kent -!.W !!> Sundry .Accounts, lor tittm^'s ' -'"'^ "" $57S.'.i99 05 8,023 44 291 83 5,310 79 4.'!3 47 2.^,701 10 ti,6:!0 48 f.,;',oo 'JO 2.154 00 1.081 37 (ts. •1859.— Octolier 1. Hy Balfrcc, br(Mi;;iit aOOOSliiiresSloek, in.id up. $400,000 00 IToQls as per statement. . . 20.581 88^^^ ^^^ ^^ Comparative Table. Yinr. Comumers. liaUi. 18.59 .... 1,763 .... $3,331,1 18.53 700 ... . 2.50 Incrciis". 1,063 .... $0.83',- IVrCent. 152 . . ..I'.r. 33,',, liexmue. . $119,708 •28,301 . *91 ,407 . li.e. 282 CUarfKS. Interest. Ompenfnlim. Dividerul. Rolf $67,082 .... 513,119 14. '206 .... 4,042 , . $52,876 .... $8,087 ..(I.e. 372 ....|>.e. •."24 , . «2.0V. 3'.:4 . . $1,688 ..I'.e. 5'21 $:i1 ,9K6 8,8-20 . . $'23,166 K 10 > Tlic oidy decrease i,sol' Dividenil— 2 per eeiil. Tho foro-oin- Accounts Cu-n.M.t. Halanco Shoots, and Comparative 'I ahlo. oxliibit the anoiiuily, that notwithstandino: an increase of ^],i per cent, m the charfte for Gas, the Directors are unable to pay the usual divideiul, tuul are oh- li.'od to content themselves with H per cent. ' Tlu^e documents further show that 33} ;j per cent, increase in price. l.)i per cent, increase in number of consumevs, and 323 per cent, in revenue, produce contrary to all precedent, 372 per cent, increase in ,t?eneral expenses, instead ol a proportionate reduction. But this is not all. J nterest on borrowed money has increased 224 per cent., and worst of all, compensation to Directors .)2l percent. The otdy decrease beinj? 2 per cent, on the dividend. The Directors have lonj? since been asked for a solution oi this paradox, but have abstained hitherto from replying. The Directors' Report of 1851 , expatiates in the most glowing- terms of the growing pro^-.perity of the enterprise, attributing its success to the repeated reductions in the price of (^as. Further, they find it necesx.ry to purchase the lease of the adjoining lot for the extension of the works, which they say will answer all the purposes of the Company for several years. ft In iHo.J. fl,,. Direct. .IS ivih-nitr. in friiis if jmssihlc still Ktroiirrcr. tliHr oon- fiim.-d success owiii- 1,. tl... CirtlKM- al.ab'nu'ut lo 1 2s. (id per tliousand feet and confirm the simio l.y iMtinialin- that iK.t less than -lo pw cent. -^200 n.-w ( 'onsumors— havo been entered on their l)0(,ks since hist reduction. IV...|„.rit y has l.een the ruin of many, aii.l it is to be r.>ared that the (.'as (.'ompuny is no exception. The Directors, not content with the unpretending structure, with works cajmble of producino- mo,-,. (Jus than is now nIiohteji posterity and prove a b.-ucon for their giudancein investments; but since (ias Uj-ht lias become a necessary of lif... the citiz(>iis nuist submit to be taxed. or jjo wifhont it. Xo trouble can exist without u cause and u reiiK-dy. A comparison of i.ar- allel cases may serve to throw some liyjit on the subject. The following table presents the chief cities of ('a..ada in their relativ.. (Jas Light positions, as regards ix.pulation and capital, coll.Ttively and imli- vidually : — '^I«"!real ,^0.000 S.'iOO.OOO .•j^.-j 7:, jj^ V;; <^i<^'''C (iO.OOO 200.000 ;« ;i'{ I. ,......''•{ 0(1 '■''^'■'^I'to .'.O.OOO 100.000 S 00 "..."' ;{.•{;{!. In addition to .^400,000 Cai.ital all jniid up and invested. Tor<»ntV» (Ja.s ('oni- pany labours under a floatingdebt of more than ."^ir.O.OOO, hcin- a total .^.-..'"X) 000 -averaging .^1 1 .12 for each inhabitant, ant,il. Less Popiilal inn. I.r;7,vr (;„h. f'^ l'^'^' ^^'"t ''<> P*>»' ^'*'"t 2 per cent, than .Montreal. ^"^ 1"^"'' c<''.t 20 per cent || p,>r c'lit. than QucI-t. Vhe engineering diHiculties in (^lebec and .Montreal were v(>ry grei-i. 11. com- parison with Toronto, which is uiisurj)a.s.^r.<))— up' to 18.53 there is not much to complain of, foi at this time the , (uniparison of ])ar- i ill tlicii- rt'hitivc Icctivcly and indi- I- Price. » .'?.•{ 'j:> {';! ;{ 0(1 > ;{ ;{;{ I., I'oronti* (ias ("oni- ij' ii total .Sr)r)0.00() uls» ^ji'i.'J-t j)er iK'ud 111 .Moniroal. Ill (^IU'l'"t'. ery /iivi'i. it. csjiu- 'nr (Jas FJglitiiifi', ICO. Sonio other 1 corit <»f c'oiKstriic- toenu'd iiumi of iii- I the manaiienient hicli they di,e • wu and re- modeled atj-reat expense, and loss. Not lonj-' after th 'us holder upset, owin.u' to the omission of the most simple l;"t "caution, when in construction : all of which cost many thousand do t. The Directors for all this may tak(* blame to themselves, fordid . a-udence jn-eside at thoir Uoard. no invsponsil,le alien would have bei-n enj-a^. ... The balance sheet for I SCO. which ha.> been received since the fore<>oiii,n' was written, presents no new feature beyond the facts:— An increase of liJ Public Lamiis. and a decrease of (ias rcMit of upwards of i?T.O0(). iirobalily owinj-' to the hich price, and the i>lic(M\ wWl form data forshowia.u' what should and mijiht liavo bee n the realized profit for the past year, provided the Directors had been satisfied with the general outlay on works, 8n!4,000 in IH"):]- other- wise with a Quebec population of C.O.OOO and capital of i?200.000. Kstimate, showinj-: the profit that should and miuht havtj lieen realized for the year ending- :mth September, 18C.0. with !i?200,n00 capital, similar to the (iuebec (.'oinpany, but having 20 per cent, greater poiv.ilation than 'i'oronto. Balance Sheet. By (!:is Kent ill sS.".',; \»'V M Ici't $104 ,s;^! By < mui __^li!i! $!10,VIU mTl.NCS AMI OlFUE UKNTS KHrilllATKI). To Coals, Liiiu', Sldkcri^' ;m>\ l,aiii|)iif;litcrs' Wagos $?.i>,-2.0-> ToHotoi'taaiulStn'ia Lamps Mf*"' To Purillors and Tools 1.^07 To Taxes aii.l RalarifS ^>A-^ To Hent ofWatiT Wits, SLiti^iiery ami I'osImh'' '**''"' To Auditors and Scnitjiiccrs -O-"' Gross I'rotit rciiliz.-d at $;\'i per M feet. '^"^>'^^^ (arryForward, «01 .098 8 T.» Voti. to Pn.sia.'i.t iiii.l Kimtorn ^\ '^j;,', •"" -"^ ^ To rnv i.l.M)il, 10 iii'i- cfiit. oil Jt'joo.ooo '..'.".'.". .,....'.'.'. .'.'.* ••ii'oi'io ~ — -JI.QTn N'i't i.rolll rpiili/.'.lal*;!', \ur M ;\vi ^,,, ,.,., I).',lurt IVoi.i tills •.■-> |M.r ,'..|ii. „| c;,, l!,.„t. wl.l.l. -^"linw'sV.'.'.V..'. ,...".",. '.'..il.'.'.","".'.'..'." .jvlsi'll Th.iS,ii|.l(iM>n.lit, rnili/.".! lit *'J..-,i(. msU.uil (.(•»;}',, per M I.m-I 'T\[M\ The ultovo ilisl.iirsomcnts ufl'oni a miir^iji for riitroncliiiUMit. Tlu^ larj... niday oi. work.s, Smnil may 1... t luimotoi'izo.l a.s a myth. W hat .sano pt-r^on wouhl j ivu .'{() per c.-nt. lor 1Ii...m ? What has bc-onu. of the origmal works hou^ht Ironi the Toronto (ia.s and Wator Oornpanv' Whi.i has become of th(. work.s Imilt on the mljoininj- lot? To what arcvunt wai the expense of j.ullin..' .lown ami rc-buiklln- the fallen chimuie.s carrietl- orthe n.-adjustin..; of the upset (.'as-holder / L'npnx I active fr..ehold shoMld bo Hold, and the Directors. th(..ioh .smpowered by charU'r to divide to tim stockholders 1(» per cent, profits, have n<» right to tax the ilm consumer for the Itenefit of <,'enerations yet unborn. It has been shown thi.t iilhsmore money has be.>n .sunk in Toronto with 11 per cnt. dearer (;as. than in (Quebec ; that nothin- has been allowed, or written off, for depreeiation or loss of nmterial, with no prospect of any, and unle.ss the consumers with indi-nation rise in their mJoht a.;d help themselves the present (.'omi)any will have their pound of Hesli until this is done. All is not yet told. There is a canker-worm at the cuiv. If the Directors don't know it, they ouyht ; if they do, they disguiiW it well. A SL'FFKRINC (J AS COXSUMKR Toronto, [)ecend)er, lH(iO. The Has j^rievanco remedy—Prospectus of u new Company forthcomiiig. w^. ■-fc nu wi 1 i $«l,w«% c I ,sm '.'I),0ll0 ■ • •:".!, !;:■-• -JTiSiil «ii.riiji UMlt. lotorizod ii.s a inytli. at has b(!(.'()iiie oJ' the r (/ompaiiy? Whiii > what u<'C('Uiit wui chi mules carriod — tivf (Vcohohl Hho'.ihl Lcr lo (Iivi(i(» to tht* >m coiKsiuiior lor th(* Ilk in Toronto, with la.s been allowed, or )ro>