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THE PUBLIC UTILITIES OF SHANGHAI

Document Type: 
CREST [1]
Collection: 
General CIA Records [2]
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP80-00926A005700100001-9
Release Decision: 
RIPPUB
Original Classification: 
C
Document Page Count: 
148
Document Creation Date: 
December 14, 2016
Document Release Date: 
January 16, 2002
Sequence Number: 
1
Case Number: 
Publication Date: 
November 25, 1952
Content Type: 
REPORT
File: 
AttachmentSize
PDF icon CIA-RDP80-00926A005700100001-9.pdf [3]5.49 MB
Body: 
Approved For Release 2002/07/29: CIA-RDP80-00926A005700100001-9 U. S. Offi~iala Only C O N F I D E N T I A L SECURITY INFORMATION CENTRAL INTELLIGENCE AGENCY IHFORMATIOH REPORT COUNTRY Chirse SU6.lECT The Public Utilities of Shanghai PLACE ACQUIRED (BY SOURCE) DATE ACQUIRED (BY BOIJRCE) DATE (OP INaO,) 25X1A ~kl l~ I S UNEVALUA'~ED I N~Q~MAfi l ON ~ou~e~ ~oC~~~~ DAr~ DISfiR. N0, A~ PAQE~ N0, 0~ ENC~S, :~u~~, ~a REPOI~fi N?, 25X1A A~rai~.ab~.o oa laa>~ troy the CIA ~,ibx?e+~y ie book e>ati~~elda The ~bliG Util~.ti?e o!' Shan a~,,- prepar?d lay tho .8t~eg~ o~ Fub].ia Util~.tiae~ 521. Ta a o~ Contez~ B Ir as ~'ollo~r~ -- A Resume o~ the Xear'B Work Paxt T . Cier~axal Reports ~,. Some Essentials of PUB'B Policy 2. The Adinin~,atratiaa oi' Public Utilities of Shanghai . ~. Utilities and Shanghai . I+. The Future l~ro~pexity of Shanghai . 5. Table ~,nd Charts ahowi,ng the D?velopment ~of Utilities of Shanghai ~ . . pert II. Water Supply 1. Rehabilitation of Shanghai's Watex~orks, ~-9~ 2. Development of Water Supply for the Western District . . . ~ . ~. Western District Water Supply Problem (~rith map) 1+. Statistics . . .. . Pa,r~t III. Electricity 1. Powex^ Supply in the Year 191+8 . . . 2. Statistics . . ~ ~ ~ . . U.. 3. Officials Only C O N F I D E N T I`A L SFf IIR I7Y I AI F(IRMAT I (1N Pale . ~. . 6 . $ . 12 . 1~ . . lg . 22 . 23 0 27 . 28 . 29 25X1A Approved For Release 2002/07/29: CIA-RDP80-00926A005700100001-9 Ap~,~le~'I~CIA~ O~Y-R~80ur0~~y6~~o~mat~ox0i01-9 25X1A -z- Part IV. Gas Supply 1. High pressure Gas Main Interconnection between Woosung Gasworks and Shanghai Gas Company (with .map:). . . 30 2: Rehabilitation of the Shanghai Gas Company . 33 3. Rehabilitation of the Woosung Gasworks, J.9~+8 ? 35 ~-. JCmprovement of Gas Supply . 37 5. Part V. statistics . Transportation 38 1. Proposal far Organizing the Shanghai Transit company, . Lta . . 39 2. "Preventive Maintenance" System of Buses ? ~2 3. Traffic Light Improvements and Safety First Week ? ~+~ ~+. The Port of Shanghai and Its Ferries . . ~+6 5. The Nantao Vehicular Ferry Service Slowly Building Up . : ? 48 6. Yehicul.ar and Passenger Ferry The Yangtszepoo Fro~ject . 50 : The Franchise of the Shanghai Ferry Company . 52 Statistics 59 Part VI. Whexves;. Gvdvw~a.e~ ,aad Post Anthmrities 1. The Port of Shanghai 60 2. Nantao Wharves to Sexth 18 Vessels (with map) 66 Part VII.Telephone 1. Statistics ... '. 69 Part Y~II. Tariffs, of U~i].ities 1. Revision of Public Utility Rates Explained by Tsao 70 2, Formulae for Computing Utility Tariff's 73 3, Danger of Economic Collapse 76 ~. Rice in Utility Rates far behind COL increases . 5. On Vicious Spiral of Costs, Prices 82 6. SMG Stand on'Uti],ity Tariffs Clarified . . 86 7. Economics of Utilities : $9 8. Utility Rues Compared with Local Prices.. : 93 g. Utility. Rates for August .~:'. -. 95 10: Reduced Utility Tariffs for August . 98 11. On Utility Tariff, Currency Reform, and Increase of Production . . ].Ol 12. Utility Rates for November 106 13. Revised Utility Tariffs Aivsounced by PUB 109 1~+. Statistics and Chart A. Table Showing Comparison of CTtility Tariffs and Commodity Prices B. Table Showing the Average Utility Tariffs C. Table Showing the Indices of the Increases of Utility Tariffs . .. 11~+ CONFIDENTIAL~US--~-F'b'.ICIALS aNLY - security Information Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Rele se 2Q,0. /07/29 :. CIA-RD~80-0~~26 570~~g~01-9 d~~~~ ~~+' 01~r3 A~1LY - aa.~ ~ y v 25X1 A D. I-ab1.e Showing the Iadices of the Increases of the Ma,~or $lemeats of Utility T~.riffs .115 ~. Tab]:e~ Bhav~ia+,g~-the Ind~;o~s v~.,t~e R?`~ailed l~d~oes~ m~ Qamnnoc~i:+bies.:.-,. ,, ,, ;;;,..,- .; J.16 pheac~ ghowiag tha.Iadices of the.Iacr?ases ~~~ c,~; ~i9;ity Teri~~s~:aaad~'PAa~or ~~~l~.emeate 177 Fe~'t IX. b~[isoeJ~naous . 1. ~,oca1 '~re~ini~~; ~o~ Utility k~ngia~e~xs , 11~ :. 2. kle~c~x'~'r- a .~e~~re the ~N~ ~.c~vis~~y Ca~itt?e ?a ~+~soiiae A7.~.ocat~.on . 12~ 3. The :~agi~er ~.~'~~]ali~ Wel~a~~ .. ; ~,2 ~. CQmaa~c+~~~.?as 7~ibitia~ at Oh~,a~ttitng U~,iversl.ty 12~ ~a~ct ~C. ~~adix 1. A~ Model '~a~iaaeer . ~'~`~ ILLEGIB COIdFIDENTIAL~US . ?FFIC?ers ~DI,Y ~- Security Tn~ar~itic~n Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA=RDP80=00926A00570010000'~-9 .,~ Approved For Release 2002/07/29 : CIA~RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 THE PUBLIC UTILITIES 4F SHANGHAI Approved FoxBelea~_2042L0.7/29:CIA-RDP80-00926A005700100001-9 Approved For Release 200/07/29 :CIA-RDP80-00926A005700100001-9 1st Issue. Sept. 19125-A2cy. 1.9126. ?22d Issue. 191,.6-X912i. .~~?d Issue. 19127-.%912'8: Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 CONTENTS Part I. 1. General Reports Some Essentials of PUB's Policy _ Page 1 Z. The Administration of Public Utilities of Shanghai 5 3. Utilities and Shanghai g 4. The Future 1}rosperitq of Shanghai . 12 5. Table and Charts Showing the Development of ' Utilities of Shanghai 16 Pat't XI. 1. Water Supply Rehabilitation of Shanghai's Waterworks, 1948. 19 Z. Development of Waxer Supply for the Western District 22 3. Western District ~'/axer Supply Problem (with map) 23 4. S~YatisYics _ . ' 27 Part III. 1. Electricity Power Supply in the Year 194.8 28 2. Statistics 29 Part IV. 1. Gas Supply High Pressure Gas 1VIain Interconnectioxx Between Woosung Gasworks and Shanghai Gas Company (with, map} y0 2. Rehabilitation of the Shanghai Gas Company 3, 3. Rehabiliration of the Woosung Gasworks, 1948 35 4. hnprovetnen.t of Gas Supply 3" 5. Statistics 38 mart V. 1. Transporxatiori Proposal for Orgatuzing the Shanghai Transit Company, Ltd. :' 39 Z "Preventive. Nlainte:aance" Systezx-~ of Buses . 42 3. TrafFic Light Improvemei~~ts & Safety First Week 44 =E. The Port of Shanghai & Xts J~'erries . 46 5. The Nantao Vehicular Ferry Service Slowly Building Up 48 6. The YangYszepoo Vehicular aixd Passenger Ferry Project 5~ 7. The Franchise of the Shanghai Ferry Company 52 S. Statistics 59 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 CONTENTS (Continued) . Page. Part VI. Wharves, Godo~wns, and Port Authorities 1. The Part of Shanghai .. 60 2. Nantao Wharves to Berth 18 Vessels (with map) 66 Part VII. Telephone 1. Statistics - - - 69 Part VIII. Tari$s of Utilities 1. Revision o? Public Utility Rates Explained by Tsao 70 2. Foxznulae for Coxxa.ptuting Utility Tariffs 73 3. Danger o? Economic Collapse 76 4. Rise in. Utility Rates Far Behind COL Increases 79 5. On Vicious Spiral of Costs, Prices $Z 6. SMG Stand on Utility Tariffs Clarified - 86 7. Economics of Utilities. 89 8. Utility Rates Compared. with Local. Prices 93 9. Utility Rates for August 95 10. Reduced Utility Tariffs for August 98 11. On Utility Tariff, Currency Reform, azxd Increase o? Production 101 1Z. Utility Rates for Nove:t-rtber 106 13. Revised Utility Tariffs Announced by PUB 109 14. Statistics aaxd Chart A. Table. Showing. Comparison of .Utility Tariffs axzd Commodity Prices B. Table Showing the Average Utility Tariffs C? Table Showing the Indices of the Increases of Utility Tariffs 114 D. Table Showing the Indices of the Increases of tlxe Major Elements of Utility Tari$s . 115 E. Table Showing the Indices of the. Retailed Prices of Commodities 116 E'. Chart Showing the Indices of the Increases o? Utility Tariffs and Major Elements 117 Part IX. Miscellaneous 1. Local Training for Utility Engineers 118 2. Report Made Before the SMG Advisory Com- mittee on Gasoline Allocation 121 3. The Engineer and Public Welfare 123 4. Communications Exhibition at University Cluaotung 12.6 Part X. Appendix 1. A Model Engineer 128 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 A RESUME OF THE YEAR'S WORK 1. THE TARIFF FORI~IUT.AE Since January, 1948, a system of "automatic" formulae for calculating the tariffs. of various utility services has been promul- gated by the Executive Yuan. The formulae were founded on the basis of the data and statistics concerning the operation o? the utility companies, nnade available through the Bureau of Fublic Utilities. The utility tariffs were fixed monthly on the basis of these formulae by substituting the cost of Living index, coal price and oil price, foreign exchange rate, and in sozxxe cases zn.etal index, prevailing at the end of the previous month. The system worked, smoothly up to the eud of lVlay, 1948, before which general cvmznodity prices had risen in a relatively slow though steady pace. Since June, however, the Central Gow ernznent changed its foreign exchange policy by adopting the system whereby the foreign exchange surrender certificate rate, which was subject to market fluctuations, must be paid on top of the official exchange rate. This change caused frequent jumps of foreign exchange rates, which in a matter of $0 days from the beginning of June to August 19, had jumped to 15 times up, with the inevitable consequence of big. increases of cornzxxodity prices. The utility tariffs to be adjusted only monthly could not follow pace with the price increases, thus causing finsz~zcial losses to the utility companies and crearizxg a crisis which was solved oa-zly after Government subsidies and/ar loans were granted- In fixing the tariffs for the month of August, therefore, an attempt was made to add fifty percent to the foreign exchange rate, cost of liviz-~g index and metal index established at the end of the previous month. The attempt was believed to be fair under the circum- stances but when enacted met strong ^pposition frozx~ the City Council. Finally, the 50 percent was taken off and iz~. its place the Municipal Government granted subsidies of equivalent amounts to the utility companies. Since August 19, The %entral Govern- ment promulgated a currency reforzxz by adopting "Gold. Yuan" and a new financial policy ,by freezuig all commodity' prices, in- cluding utility rates. During the mouths of September a.nd ~7ctober, governmental subsidies were given to the various utility companies to enable them to maintain their aperativzz. ~xz Novezxxber 1, the Central Government issued an unfreezing order. Subsequently the. utility tariffs have been adjusted as realistically as possible, according to the actual costs of operation of the services- Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 ? 2. THE UNITIED POWER COMPANY PROJECT Tkxe project has been placed among. the tvp priority lists in ECA's China Aid Reconstruction Progranrt. The loan for cover- ing the part of capital an U.S. dollars for ehe project has riot yet been granted. However, a topping unit turbo-generator set has been granted by ECA to the Shanghai Power Compaxiy, which is a wise choice, but as not an alterxzative to the UPC Project. For the best ixzterests~of overall power development an Shang- hai, the United PoCVer Company Project must be promoY.ed. The writer understands that the Project still remains as Priority ;~ among ECA's programs' and. it may receive very favorable con- sideratavzt when EC'A's program cotltinues for the secoxxd year. 3. PUBLIC TRANSIT COMPANY IN FORMATION The City Bus Servaee has operated bus transportation facili- ties for the public' for over two years already, with the, objective of organizing a modern city transit company. The principles ^f the incorporation of the company have been approved and passed by the 1Vlunicipal Government and the City Council. The City Council later, however, decided. to have 60 percenrc of the total. capital to be invested by private individuals and 40 percent to be taken care of by the 1Vlunicipal Government: At,. appraising committee was later formed, consisting of four representatives from the Municipal Goverruxxent and the City Council and one representative from the Chartered Accountants c~.ssociation; in addition to 4 experts. The fair value of the assets of the City Bus Service was made out on October 28 to be about GY~9,530,- 000. The appraisal, however, is automatically invalid after the devaluation of gold yuan in relation to foreign exchange announced by the Central Government on November 1, 1948. Up to the time of writing this report, the tizxae of formation of the Cary Transit Company is still under serious consideration of the City Coutxcil and the Municipal Governtnex-tt. 4. THE YANGTZS1t;P00 TRUCK FERRY PROJECT As to water transportation, particularly, fhe trans-Whangpov truck ferry service, this year has seen the upward developznex~t of the vehicular ferry service at Nan-ma-too (South Wharf) in- augurated on 'Double Tenth Day, 1947. The facility was gradu- ally appreciated by the public, as can be viewed frozxz the rise of the number of trucks and automobiles passing the ferry from a dozen a day at the beginning of the service to 2 hundred motor vehicles a day recently. To meet the rising need of the community .and. to assist in . 'the plan of alleviating traflir congestioxa at the Bund, a. new pro- ject at Yangtzsepoo has been drafted, and will be carried out as soot. as the necessary funds can be financed, The complete projeca consists of 2 parts-1st, a simple truck ferry, and 2nd, a more elaborate vl Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 construction with combined truck and passenger accotz-zx-nodations. Tl-~e- estimated construction capital is .about US$1,000,000. 5. CONTINUATION OF WATER SUPPLY EMERGENCY PROGRAM Water supply is both a public utility and public health ser- vice. Tlie Bureau of Public Utilities started in 1VIarch, 1948, the service o? the newly.-built 600,000 gallon reservoir oz~ Chung Cheng l2cad (Westertt) . A Scrutinizing and Allocation Commit- tee for subscriptions of water supply in the Western area has beeza organized. T'lae Committee was represented by the Shang- hai F~Uaterwvrks Company, the City Council and the Bureau of Public Utilities. Xt is gratifying to report that about two hundred subscribers have already been given water. The Bureau leas further this year successfully c'ozxxpleted the connection of water zxzains of the Inland Waterworks Company with those in the Western 'District, through pipe Iiues owned by the French Company and. the Shanghai Waterworks Company, thus diverting a portion of surplus water from the Inlazzd Water- works Compaziy to the Western District. T'he connection line has a total length of 9 kilometers. To cozxzpensate for, the loss of water head, a boosting pump station is being installed vn, Siatu Road- The whole scheme is proceeding smoothly with cooperation from the waterworks companies concerned and is sclxeduled to be completed by the'end of this yeas. The successful comple- tion of the scheme will enhance the water supply in the Western area by 3,000,000 gallons daily, suffzciez-zt to provide water for 120,000 people. 6. HXGH PRESSURE GAS MAIN INTERCONNECTION Further to the BLZIk Supply Agreement made between the Shanghai Gas Company and the Wooszuzg Gasworks last year, the two concerns have again manifested their spirit of mutual co- operation by agreeing ao and starting the coz~strucrion of a high. pressure gas main from the Uryang Road ~ovexnor house of the Woosung Gasworks to connect with the Tangku Road high pres- sure main of the Shanghai Gas Company so that gas axaade by the Woosung Gas~,vorks during the night can be transmitted to the Sitzang Road reservoir 'of the Shanghai Gas Company For redis- tribution during the day. This is completely in line with the Bureau's policy and is to be highly commended. 7. THE FRANCHISE OF THE FRENCH-OWI~IED ELECTRIC LIGHTING & TRAMWAY COMPANY The Compagnie Francaise de Tramways et d'Eclairage Elec- triques de Shanghai operates, besides electric powez and tramway services, a few bus lines and a waterworks, as authorized by t'he franchise and agreement signed between the Company and the vii Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 ex-Council of the French Settlement. The Franchise will termin- ate orA .May 1, 1950. The Municipal Government, following the national policy of encoL~raging foreign investment, has taken, steps ?or the negotiation of the extensions of the franchise, separately, for electric power, water supply and, public transpar~tation, with certain important provisions. The negotiation was interrupted due to the sudden death of Mr. A. Sigmann, the General Manager of the Company. It is hoped. that it~may be resumed soon. 8. THE TRAFFIC PROBLEM Traffic congestion still remains a knotty problem irx Shanghai. One of the many causes lies in the great varieties o? vehicles running in the streets, each. witlx its own speed. The immediate solution lies in increasing mass-transportatio~tx facilities, eliminating pedicabs and other man-propelled vehicles, and removinig the many bottlenecks in busy thoroughfares. As a first.measure to ease traffiic congestion, based on sugges- tions of Dr. Thomas Comway, Jr., a set of automatic' synchron- ized traffic lights was installed in Nanking Road (Western), starting from Shensi Road to St _ Gecrges. In that section, a east- or west-bound motor .car can pass through 5 blocks wiah green lights at a speed of 25 miles. per hour. 4. TELEPHONE EXTENSION PROGRAM IN PROGRESS The Shanghai Telephone Company is steadily progressing with the program of installing 10,000 line extension o? telephone service. These lixies have been allocated to different offices. As scheduled, the 1,400 1u~es for Fokien Office (1st digit "9") and the 1,000 littes for_Montigny Office (1st digit "8") are. to .be com- pleted for cut-over oi-~ December ~1, 194$, while the reix~aining 7,600 lines allocated to West and North Offices will be completed within next year. 10. A SUMMING UP The present year leas. witnessed an unprecedentedly .difficult and trying period ?or the utilities of Shanghai. 'Scarcely a day passed without the appearance of some problems demanding immediate attention. It _is .only through the able guidax~.ce of Mayor K. C. Wu, the tinxely assistance o? ?the Governors of the Central Bank, and the ardent cooperation of all my co-workers that these day-by-day problems were realistically solved. Little thgugh has been accomplished, the effort is by no means small. I wish to take the opportunity to extend, my Heart-felt apprecia- tion and thanks to all concerned and to solicit and pledge them ?or more support. T. C. TSAO. December 2, 1948. viii Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 .Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 QTR. T. C. TSAO Commissioner of Public Utilities of Shanghai Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Vice President Li Tsang den {middle) viatting Sliang$ai Power Company nrith Coi~unissioner 1', C. Tsao {left), D~Ir. P. S, Hopkins {right), President' of S'.P.C., Air. C. J. Ferguson (between lliessrs. Li &Tsao) and bTr. K. Y. ~~ang {ex Creme left) of S.P.C., and i4lr. T~, D. Lee (extreme right), advisor to the P.U.B. Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 PART ~ GENERAL REPORTS 1. SO1~IE ESSENTIAT.S OF PUS'S POLICY T. C. Tsao Report made before the xxiontkuly meeting of Sl~'IG The ultimate objective of the public utility services is to make thetxz (1) Availalbe to~ all, (Z) Econnomical to all, and (3) Satisfactory to all. In order to further the above objective, we need a definite a.nd clear-cut policy in administering lie public utilities. In the establishz~nettt of a policv there are tiao considerations, theory and practice. Only a welt-balanced coordination of the two will make the po:liry sound and workable. Theoretically speaking our polity should fall along the fol- lowing three Iines:- (1) Coorduiated scheme of development under overall planning to be correlated with the development of the Municipality. (2) Modern system o? management resulting in l~igller efficiency and greater economy, (3) Uniform standards of service and, ultimate uniform tariff rates throughout the :Municipality. ' Against the three theoretical principles are three practical considerations rvhi~h must not be neglected: (1) The existence of different franchise areas which have been served by different utility companies, a result of the forzi~er political status of Shanghai. (Z) The obligation of the Municipality to l~.onor the fran- chises of the companies granted by the former municipal coLincils. (3) The absence of any overall plain as the companies de- signed plants to meet needs of their individual franchise areas. After carefully weighing each .factor, our policy in adminis- tering the public utilities of Shanghai has beet3 formed, of which the essence is given below: A. I'ROI~IOTXON OF UNITED COMPA;NTES State ownership of the utilities is out paper an easy solution to the problem. But our Governnrx.ent at present is funancially unable to make the purchases of the: utility cozn- pazues and legally bound by the obligation carried over front. the ?orxner municipal awthorities to respect the franchises gra:t-~ted by (1) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 them. to the companies. The united companies advocated by xhe Bureau of Public Utilities aitn at united service to all areas of Shanghai without interfering with the rigl-zts. of the existing com- panies. The United Power Company notiv under promoxion is a ~:vod exaixzple. Pending the ixaaturityof the formation of the united companies, the Bureau has established the City Bus Service, Wov- sun.g Gasworks, Pootung Waterworks, and. the Western District Water Supply Planning Office, all of which are expedient measures in line with the future development of the various urzireci cetn- uanies. B. EI.IMTNATTON OF DISTRICT SOUNaDARTE'S The complete elim,ix-nation' of the district boundaries set up by the existence' of different franchise areas will depend on the successful consum.zna~tion of the united company projects. The $ureau o? Public Utilities has, however, successfully brought about the partial elimination of such b:,undaries. The ethzcal conduct of the Shanghai Pawex Company has made possible ?the large amount of bulk supply power going to Nantaoy C'liapei, and Pootuzzg. With xhe cooperatioa~ of the Fnez-zch Cvmpan.y, a Y~um- ber of bus routes which cross many of xhe "boundarie-s" are jointly operated by the City $us Service and the French Com- pany. Many of the city's green buses are operatiuYg through three past political areas, namely, the Municipal Area, the ex- Internaxional Settlement, axzd the ex-French Coz-cession, The V~ocsung Gasworks entered into a bulk supply agreement witl: the Shanghai Gas Company. The Shanghai Waterworks Com- pany, the French Company and the Western District Water Sup- ply Planning Office have ur-zited their efforts in solving the water. supply problem of the Western District. All these instances serve to illustrate the efforts of the PUB in elimina~ring th.e "bound- aries" for the benefit of the populace o? Shanghai. C. TNCREA,SE OF SUPPT.Y $ecause of the limit set by the franchise areas, the utility services of Shanghai are in a very much unbalaza.ced state, with a number of areas inadequately or even not supplied by the services. Regarding water supply, the Bureau is trying to evpazid the Pootung Waterworks, rebuild the Western District Water Ctation, and resume! the supply of water to ships anchoring. iza the Harbor. Emergency projects to alleviate the water shortage iz~ the Western District are being tarried oixt. The corrxpletion of the first stage of the project has boosted water supply in the Dis- triet by 200,000 gallons daily.. Granted enough funds, the 2~id stage of the project when 'concluded will increase the daily water output by 3,000,000 gallons. To supply water to the poor and. { 2 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 water for anti-epidemic uses, there are over 130 free water stations and retailing stations. Regarding gas, the Woosung Gasworks is supplying consumers in Northern Shanghai, while the Nantao gas mains now under planning will serve, partially, the population i.n the Nantao District. Regarding transit facilities, more lines are Bain;, added. to the city bus service, while buses in urban districts are temporarily operated by private companies. D. BALANCED DEVELOPMENT OF THE CITY There is at presex~t air. extremely rtnbalanced state of deve- lopment of the two banks of the Whangpoo River which is highly dettinnental to the City's economic interests: The location. of most of the city's wharves and godowns in. Pootung makes the delivery costs of goods ettremely high. The Bureau of Public Utilities initiated last year a vehicular ferry service in Nantao and is plat-~- izxg to build another one in Yangt2epvo. The PUB has instructed the Pootuztg Waterworks and the Pootung Power Com- pany to devote all efforts to? expand their services. When water, power, and transportation problems of Pootung? can be solved, the day of its prosperity is anticipated. E. IMPROVING INDUSTRIAL POWER SUPPLY Shanghai is the industrial cezxter of China. Power is the pxim.e mover o? industry. Since the developments of tb.e utilities should match with the development of the city, industt.ial power supply must be adetluately maintained to foster the industries. Although power supply for Shanghai has always been short, the PU13 has tried its best to maintain the power needed by the in- dustries. Industrial power consumption .is over 66C/o of the total .power generated. The restrictive measures of using, electricity find the restrictions in the power consumption for household space heating or air conditioning are also for tlae purpose of givuig moire power to industries: These. are, however, only expedient solutions. The final solution rests in the early establish.tn.eiXt of the United Power Company. F'. UTILITY TARIk'FS The utility tariffs have direct beariaag on the livelihood of the local popalace. Since tariffs .are fixed by the competent aurhor- ity, the managements o? the utility Companies are under the super- vision of the arxthoriry, and the profits of -the companies are limited by law, therefore the utility taz'iffs, uxtder norxxaal circum- stances, will not be so high as to affect the living ' of people, neither will they be so low as to affecq the operation of the companies. The utilities are industrial enterprises. The object o~ industrial enterprise is reproduction. The essential element (3) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 . of "reproduction" is profit. The Bureau of Fublic Utilities, in fixing the utility tariffs, consider the. burden of the. public on the one hand, and give the companies legitimate profits as provided by their franchises on the other hand.. Recently, however, prices oaf comxnodities increase much more speedily anal in greater per- centages while the incomes of the mass of the population do nor, increase proportionally. The P'UB with understanding on the part of the companies, can then only temporarily give the companies tariffs which will merelyenable them to maintain their operation. Meanwhile, the PUB has instructed the companies to maximize their expenditures, helped them to purchase fuel and foreign exchange in advance, and adopted . the reverse block system so that the big consumers pay xxioxe while .smaller. consumers pa.y less. Saxce July, 1948 the Central. Government changed its foreign exchange policy, adopt- ing the exchange surrender cerxificate system. The dollar ex- chan.ge rate jumped from CN$480,000 to CN$5,030,000, an in- crease of 9 times. Fuel oil and parts required by the utility companies are all iinpor'ted and require excbangey and the depre- ciation and profit of the foreign operated utility companies are also calculated in foreign exchange. The CO'L Index was pub- lished twice a month since July. The companies were extremely short of revolving funds The utility tariffs calculated at the beginning o? the month and based on the average indices of the previous month under the circumstance do not yield sufFicient revenues to enable the companies to meet their expenditures. All the companies consequently suffered deficits. To compensate for this loans from the Central Bank were arranged to provide revolving fuxxds for the companies, and fifty percexxt ha.d been added to COT. Index, metal price index, and foreign exchari~ge rate used in the formulae for calculating August tariffs. The new rates were designed to be realistic. The reverse block systems were still znaintain.ed. The companies were allowed to collect their bills from the big consumers twice a month. - G. PRESENT CONDITIONS Three years have passed since V J Day. Under the able leadership of 1VIayor K. C. W1i, hearty ef)=oxts of the companies, uaireserved cooperation of the public, some improvements have been made for the utility services of Shanghai inspite of many difficulties- Comparing the statistic's of the services in October 1946 with those of April, 1948, water, .power, transit, gas aztd telephone services have substantially increased. Because power and transit services suffered most during enemy occupation they received our most attention aaid made the biggest increases. The following figures may be useful for reference: ~ 4 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Daily water production of Shanghai is now 100.000,000 gallons, monthly power generation 100,000,000 kwh 60%? of which used by industrial consumers, daily gas production 4,000,- , 000 cubic feet, there are 90,000 telephones with daily average ' number of calls 750,000, 40 public ?transit routes with 700 vehicles - carrying 1,000,000 passengers daily, 16 ferry boats with Z vehicular Parries, 18',500 streets lights 10,000 of which added since V-f Day, 150 .sets of traffic lights with automatic lights installed in Nan- kizig Roan West). From October, 1945 to? April, 1948, the development of utiiiry services of Shanghai can be seen froaxz the following in- creases: Regarding water, production has increased 69%, length of pipes has increased 2%, number of consumers 'Z%~. Regard- ing electricity, generating capacity has increased 327%, length of transmission lines 7%, and number of consumers 18%. Regard- ing gas, productive capacity h.as increased 103%, length of pipes 9%, and number of cansuzners 9$%- Regazrduzg telephone, num- ber of seas has increased 7%, and number of subscribers 8%. Regarding tramways, number of routes has increased 45 %~, length of routes 89%, number of trams 15%. Regarding electric trolley bus, number of routes has increased 29%, length of routes 18%, number of trolley bus 65%. Regarding buses, number oP routes has increased 1,700%, length aP routes 1,370'%, anti number of buses 1,330%. Regarding ferry, number aP 'Perry boats has in- creased 220%, total tonnage 159% and 'number of lines Z00?/-0. Regarding street lights, nuzxaber of street lamps has- increased 119%. (Published in "Central Daily News", August 2, 1948) Approved For Release 2002/07/29 :~A~-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 2. THE ADI4IINISTRATION OF' PUBLIC UTTLZT'IES OF SHANGHAI Dr. T. C. Tsaoy Commissioner of the Bureau of Public Utilities of Shaii,ghai, gave a. lecture Iast night on the "Adminis- tr.ation o? Shanghai's Utilities" in the Chinese Y1VIC'A Auditerinm. This speech was the second of a series spoixsored by the Municipal League of China for augmenting public knowledge ou city affairs. Dr. Tsao started his well-planned. and interesting speech. by stressing the importance of adequate and efficient utility services for the welfare of the public. He then went an to elaborate on the accepted abbreviation of his Bureau, the PUS. "P" stands for Popularization, Dr. Tsao said, we want to make the utility services popular so that every citizen will be able to off. and ~to use them. "U" stands for Ux1ifi- cation, rvherebv we hope to unify and roordinatc all the utility. services fvs the best interest of the public. "'B" s?taz~ds for Beautification. The word. does not mEan beautiful in its usual sense. It rather means the amenity of the city due to good ser- vices such. as bright street lamps, adequate and. comfortable pub tic transport, punctual ferry service, orderly wharf traffic, cyan gas supply; those are the things which we call beautiful and which we must strive for. Official Supervision The main function of the Bureau of Public Utilities is the supervision over ?the various utility companies instead of direct management of the above. Witb the fundamental aim of serving the best interest of the public, the Bureau helps, instead of interfezes with, the companies, and gives counsels or advices xather than orders. The fundamental policies of the PUB in admiiiisterii~g the utility services are expansion of services, enhancing of efficiency, and rationalization of tariffs. The present operation of the utilities of Shanghai is severely handicapped by the universal postwar shortage of essential materials and capital so that after the destruction or removal of plants by ?the enemy we have a herculean task in rehabilitating them. Our effozts have so fat resulted in the following achievements: X. Tlie daily water output now reaches one hundred million gallons, which divided by the population of 5,000,000 nets twenty gallons per day for each person. Approved For Release 2002/0~/~9~: CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 2. Monthly power production is now roughly one hundred and. seven million kilowatt hours, sixty percent of which is used by industrial consumers. 3. Daily productive capacity of gas supply is now live million cubic feet which hardly meets the demand of the public. Tl~er: is. practically no new installation for gas. connection. ~}. There are at present 94,920 sets o? telephone, or one telephone for every fifty persons in Shanghai. 5. Local transit facilities uow number 550 cars, including trams, buses, and trolleys. The quantity 'is still insufricient for the huge population of Shanghai. It is estimated that 3 times the number of public transport vehicles are needed to meet the situation. UPC axed ~'orezgn Capital A word may be mentioned about the efforts of the Bureau in proixioting the United Power Company Project, the.suecessftrl consuix~mation of which will no doubt give stimulus to other. unification schemes. The UPC Scheme is the. mosx sound project, as recognized by all, and the Central CaverA~ment has agreed to it in principle. it only remains to pass through the necessartir legislation steps. Qur attitude to the foreign-operated utility cotnpanies ai-e based on two principles: vi~r. (].) in respecting their franchises and. in giving them legitimate profit. I'or quick economic reha- bilitation and reconstruction, it is our national policy to welcaixie foreign capital; (2) in also treating some of them, which are efficient and up-ta-date in operation, system, as educational in: stitutions for training technical personr_el. for China's fixture con- sxrucxiona: work. (Cl~u:a wily Tribune, ~~pril 13, 19=18) ( i ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Conatnissioner T. C. Tsao of. the 1]ublic Utilities' Bureau, in the course of an interview with a representative of this paper yesterday, gave a comprehensve clarification of the principles guiding the Bureau in the adminsstra~tion of the utility services in ~hangh.ai. 1n additioaz Ivlr. Tsao also referred to plans of the Public Utilities Bureau to enhance the prosperity of this city. The principles guiding the $ureau in its works to improve and rationalize utility services, he said, are to establish systems and to carry out expedient solutions, as well as long range plans. Touching on the B'ureau's no?licies for the adirAinistration of . ehe utility services, Commissioner Tsao has dais to say: "Shang- hai's utility services are in size and scale the largest i1a China and the number of units operating them is unsurpassed by other leading cities- Over-population, extensive developrr~.ent or indus- tries and cozntnerce, plus the difficulties in restoring war-damaged plants have, however, made the present services still inadequate to meet the demand. The rnany units operating the utilities, which were each established to serve their ow.n frazachise areas without consideration of the City as a whole, have resulted in the irregularity of service staaidards and noi-~-uaaiformity of tariffs. The whole systems were far from rational. The guiding prin- ciples of pUB's work for the improvement and ra.tionalizatiox~, of the utility services are the establishment of systerias and carrying out of expedient solutions as well as long range plans. "The construction, maintenance, and management of utility services should be done under established systems so that they can be coordinated with the development of the City and the need of the public. Upon rationalization of systems, our efforts must be directed to carry out expedient solutions and also long range plans. p'or example, through the efforts of SPC, coal for generating one kilowatt hour of power has been reduced from Z.I6 pounds to 1.9 pounds. The total generating capacity has in the Iasi- year increased from 154,300 kilowatts to 193.840 kilo- watts. The servicing o? municipal buses, the restoration of Nan- tao wharves, the carrying out of the eiaaergency water sLtipply plan far the Western .District and the pxornorio:-a of the United Power Coraapany and United Transit Conxpany projects all serve to manifest that our efforts have been made for expedient as well as fundamental solutions. ~ 3) ' Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 "After the establishment of rationalized systerxxs, personnel capable of ruxining them are indispensable. The PUB, together with the well-equipped and large-scale utility companies in Shan;- hai, has sponsored training Classes, o$ering technical tranaing o? Z to 3 years to engineering. graduates of China's leading ?univer- sities. These personnel will be invaluable assets and can be used in tl~e future development o? utility services. Attitude Toward Foreign Companies Asked about the attitude of ?the PUS toward ?oreigrn com- panies, he said: "T'he question can be answered from two differ- ent angles, legal and factual. "(1 ~ L,egal point o? view--The foreign comparri.es were organ- ized during Settlement and Concession days and had been award- ed franchises by the former Councils. ~~Tith the rendition o? the Settlement and Concession, the 1Vlunici~aal Govexrnrxrent o? $harnghai has become tlxe? legal successor- to all the rights and obligations of the ex -Councils and has, according to the new Sino - American and Sino -British treaties, zhe ..obligation of acknowledging such franchises. "(Z) .Factual point of view-Ta welcome ?areign investment for post-war reconstruc- tion o? China has been a national policy since is was passed by the National Defence Supreme Commission in November, 1944. '7'he Central Government has revised the Company Law to make it compatible with the above resolution. X? future foreign invest- ment and companies are welcome, it follows naturally that the existing companies must be encouraged ro stay. Besides; the exist- ing companies have been willing to abide with our laws and in- structions and have cooperated with us in every possible way. They are in this respect no differen+_ from the Chinese companies." Tlxe "Automatic Formulae" Speakirng on tlae adoption of the "automatic forrxaulae" for revision o? utility tariffs, 1VTr. Tsao explained, "We Cannot allow the corxxpar_ies to ?tetminate operation o? any utility service. Hence we have to approve realistic revisiv:n.s of utility tariffs to matte them compatible with the ever-rising prices of general commodities. On the other hand, we must not izttpose any unfair burden on the public. The best solution lies in working our a scientific, equit- able basis by which the mi~itnum costs of operation of the utility companies can be calculated, on which will be based the tariffs. The "automatic formulae,". containing constanrs and variables, are exactly for this purpose. The constants, such as quantity of coal for generating one unit of power, are arrived at by careful scrutinization and close investigation to past statistics o? the com- panies. Tlne variables are reduced to such bare essentials as COL Approved For Release 2002/07/29 (~I~-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 index, foreign exchange rates, price of coal, metal price index, etc., which constitute the utility costs. Thus operating costs fur each month can be ccmputed from ?the quotatiotzs of the various variables. "The fixing of the constants for the forzaittlae was done after much care and deliberation. The figures have 6eetx kept at minimum. Our objects are twofold: to reduce the burden of the public and to encourage the companies to spare no effor~s to enhance efficiency so that the approved rates;. irz addition to covering, operational costs, can provide a znargitt 1?or~ legitimate profit as authorized by the franchises, The utility companies of comparatively lew efficiency may find it necessary to improve to their own advantage." Traixxing o?f Technical Statl Ques~tianed about progress i.n the traitxizlg o? the technical personnel. 1Vh. Tsao said that starting from 1945, the PUB, in cooperation with the Shanghai Power Company and the Shanghai Telephone Company, had. organized training classes. There are now 5$ persons under training. It is the aim. of the training program to train technical tnen not. only to serve the utility com- panies concerned but also to help develop the utility industries ?~f China, he said. ? 1?lans Far Shanghai's Prosperity Asked about the Bureau's plans to make Shanghai a pa:osper- aus city, Mr. Tsao said:-"Increasing production and. facilitating transporta:ior., are the two Chief reC(uiretnetlts of the future pros- perity of Shanghai. To increase production the question of power supply must be solved. Before the establislzt~,et-at of tthe .United Power Company, th.e PUB urged the different nowrr com- panies to exert all efforts to increase their generating r?apacities so that, later on during the peak load hours power supply to fac- tories can still be maintained. The PUB, in addition to appeal- ing to the public to save the use of electricity themselves, has requested the Central Government to start daylight saving time from April 1 so that more electricity can be saved for industrial purposes. "To reduce the productioxial costs o? industries_ the PUB has always attempted to make power for industrial consumers as cheap as possible. Industrial powex rate now is about 20 percent less than the rate ?or lighting. We hope to make further reduction in the future. "To~ coordinate international and national transport system, a Sliangliai Port Authority should be established as quickly as Approved For Release 2002/07129 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 possible. Cxood railway connections must be made Yo the harbor and air transportation lizzhed with waterways and railways. A city transport plan, leas been mapped out according to the location of land, water and air terminals, systematically correlated. A United Transit Company is to be promoted to establish a satisfac- tory transportatior. system in the City." According to preliminary estizxxates, Shanghai at present will need 1,500 buses, IvIz?. Tsao said, but the bixses now in operation nnzxzber 500 or only one-third of the estimated requirem~enY. The nuzxiber needs substantial increases. The foYnnation of the transit company has been approved by the Fifth Session of the City Council an,d i,'t is hoped to realize this before the end of this year, IVTr. Tsao said in conclusion. (North China Daily News, 1~Iarch 16, 198) Approved For Release 2002/07/29 ?~CDA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 "Improved harbor. facilities, adequate electric power supply, . axtd coordinated transportations systezzz are the three things the implementation o~f which will contribute most to the future pros- perity of. Shanghai," stated PUB Coznmissiouer T. C. Tsao in a broadcast speech in the Police Radio Station, recently. The fol- Iowing is the text of Commissioner Tsao's speeclx:-- What are the things the implementatiozt of which wYll con- tribute most to the future prosperity of Shanghai? I may perhaps serve best to start our discussions with a brief analysis of the characteristics of Shanghai. First of all, Shanghai is essentially; an international port and the main founda- tion of its ec6nomic strttcture lies in the ease wish which trade and commerce can flow in axed out through its harbor and. trans- portation facilities. Secondly; a review of oast and present statis- tics will reveal that the`liglxt ?industries in China have mostlSr concentrated in Shanghai. Shanghai was, is, and will be the center of light industries iri China- Haring brought out the outstaziding characteristics of Shang- hai, we may have a direct approach to our subject riroper, "The Future Prosperity of Shanghai." Our answer is almost autozxxatic_ -(1) Improved harbor facilities, (Z) adequate, electric power supply, and (3) coordinated transportation system. These, in our opinion, constitute the elements which are most conducive to the future prosperity of Shanghai. $hangliai's Haxbor We shall begin by giving a brief evaluation of 'the harbor of Shanghai. In prewar days, imparts and exports handled by the port of SI-ianghai amounted to over, 30 percent of those o? the whole nation. With the ending o? the war, the figure leaped to 85 percent. In ].935, the quantity of import and export 'was more than thirty-five million tons. Needless to say, when condi- tions resume normal, what with capital goods to~ import and ?zn- ished goods to export, the quantity znay progressively increase. Cur harbor as it is at present will naturally re~~uire much im- provement both in its equipments and management- The requirements of a good harbor are manifold.. We must have sufFicient and adequate berthing places for vessels and rea- sonably high speed in loading and unloading, i.e., the rapid transfer of cargo ?r.om water carriers to load carriers, and vice versa, we Approved For Release 2002/07/~9izCylA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 would require rrxodern, up-to-date port facilities, such as mechanized cranes, classified godowns and. wharves. ~`Ue would also require a sound and centralized port authority. X ain happy to say that the Shangrai Port 1Zegulation Commission had completed a draft for the Proposed Permanent Port Authority of Shanghai and submitted it to the Executive Yuan for approval. The construction of wharves has inueh bearing on the sinootla operation of the port and in. there the opinions of th.e experts are divided. One group advocated the dug-in dock system as adopted by London, the other group gave decided prefere~ace to the full utilization; of the two banks of the ~}C7hangpoo River with either floating pontoons or fixed wharves, as exist- ing at present. Both systems have their own advantages and dis- advantages. Tn our future planning, we shall hope ~tv use a conglonnoration of the two, with a little emphasis on the latter because of its lesser initial costs. The former, however, must be resorted to, when justified, because it is sUecially convenient to raikcay connections. Our main job at present is, after the approval .of the Pro- posed Organic Lacy of the Port Authority by the Central Author- ity, the establishment of the Port Authority and tlae assessment of capital. Onr efforts hereafter will be devoted along these lines. 'E1e~tric .Po~ever A look into the consumption records of electric power in electric power in Shanghai will disclose that Shanghai has been well developed in its industries, especially.,.light industz-ies. .fit present the monthly total of power consumed is roughly one biillion kilowatt hvur.s. of which. 60 percent is used by industrial consumers. A.m.ong the industrial usage, by far the: largest is cotton mills, which occupy more than 60 percent of the. total. Followuig their heels are flour mills, weaving mills, oil extract- ing business, cold storage business, etc. Despite the. efforts of the Competent authorities and coxx- cerus the rehabilitation o?f industries of Shanghai Izas been much handicapped by an acute power shortage. 1VIany spindles of cotton mills are not being operated. Cotton mills have to shut down their plants rotationally twice a week. X.~aad to anills has toy be staggered in case of breakdown of one generator. Such happenings always cost the manufacturers irrevocable econo~t~ical losses. An immediate remedy is indispensable to the future pros- perity of Shanghai. Shanghai has surplus capital, competent techaucal personnel and labozers, and a goad environment for industrial develop- ment. The best solution to any unemployment problem is to Approved For Release 2002/07/29 ~ Q;1R~-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 direct surplus capital to invest in industries, thereby offering pro- ductive employment to the jobless and indirectly stabilizing the market and curbing the ever risiuig inflation. It is estimated that at present there is a shortage of 60,000 kilowatts of power, which can be immediately absorbed by the now idle equipment and labor. It will provide 90,000 persons with work and irs prodLictive value per month will be equivalent to seventeen million LJ.S. dollars. It is for this purpose that the. Shanghai Municipal Gavertiment started active promotion of tl~e United Power Company Project which plans ?ox an initial installation of 100,000 kilowatts of generating, capacity ?to catex to Shanghai's urgent need. Transportation The prosperity o? a cosmopolitan city depends on transporta- tion as xn.uch as it depends on power supply. The e_~pansion of Shanghai's transportation facilities should be directed. to two ends. The first is to be design and exearte a system of transportation . which coordinates harbor, railways; and airways, thus providing appropriate eoaaaaections ~vi~th other parts o? China and the world. The second is the local transportation system., with the primary aims of providing fast, efficient, and cheap cargo and passenger transport services. A correla~Yed .development o,f harbor and rail~l~ay transport will save much of the port expenses now spent a.s handlua.g charges, lighterage fares, and possibly demurrage expenses. Weis Chao Pang of Woosun.g offers an excellent location far such a setup. All goads' lnay be leaded or unloaded here, and the direct access, if the dock system is adapted for, building the wharves, ro freight trains will reduce the part expenditure to, a minimum. The Shanghai Nanking. 12ail~vay Administration is now building 1800 feet o? faxed wharf in. Chang Chia Pang,, Waosung. This is a good start and I hope it will he followed by many similar schemes. L.unghua Airport is at present the only field available to com- mercial planes, with Ta-zing and Kiangavan Airfields sewing as military fields. Hungjao Airport may be developed to be an international airfield. North Station is the center of railway passenger transport now. It is hoped that in future a suitable location in Chapei District may he selected for the construction of a Unien Statioal. Cause Of Traffic CanQestivn The causes of tta:ffic congestion of Shanghai are too com- plicated to deal in any length here. However, it is plain that the following axtust be taken to improve the traffic coaaditians of Shanghai:- Approved For Release 2002/07C/2i9 CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 (a.) to build more bridges to span the Sooc'how Creel: in coordination with the arterial roads in Chapei to drain off the through traffic. (b) to increase the number of cheap and efficient coinlnon carriers vehicles with the natural elimination of obsolete rickshas and pedicabs. (c) to unify traffic control. The synchronized traffic lights will no doubt aid much iri easing the traffic flow in the central dis- trict', Its installation will enable the mass trat:sFortation vehicles to start an "Express Service" which. will be able to run say, frotxi the Baud to St. Georges without stop. There is at present an unbalanced state. of development of the two banks of the Whangpoo River. Footling or. the other bank of the River is relatively undeveloped, and land value is much lower. Most godowns of the city are however, located in Poo- tung, while the consuming inaxlcet is oxi this side of the River_ The importance of a cross river facility can not be overempha- sized. There are three ways of spanning the ~Ilaangpvo River, by means of bridge, tunnel, or efficient ferry service. Pending large funds to build either of the first two, we can, for the tune being, resort to thethird. For that purpose a vehicular ferry service was installed since last October, ,affording much facility Ito cargo transportatio~~, from one bank to the other. In conclusion, I believe that with the general situation of China improved, the successful consum.x~ation of the three will undoubtedly bring much prosperity to Shanghai. (China Daily "Tribune, January ~,5, 1945) Approved For Release 2002/07/29 : CI>~-1~2DP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 5. TABLE SHOWING THE INDICE5 OF THE DEVELOPMENT OF UTILITIES OF SHANGHAI Base : October, 7.945=7.00 ~ R'r--ter Elect rfcit~ ~ Gar Tele- Trar' ~ Trn/le~~ liar P TIi11L Cm:- ~ ~ i Corr- Can- pl~onc Pc. r, Pcrr- .Pdr,r_ crr i Parr- _~ := ::i~t m: sxni~tion rurrrptiar Crdk c;coerr crr~cn' onGerr . ar{;?-crr o~?, 19?5 ~ ' 1oo.D 1oD.D 1ao-o 1oo.D 1DO-o' 1Dn.D 1oD.D 1oo.D Nov. ~ 97.9 139.2 137.2 106.2 103,7 96-3 141.9 78.1 Dcc. 95.7 200.6 182.5 ;103.8 120 ? 175.3 2289 209.7 Jan., 1946 104.4 2515 1]]-6 108.4 50.7 75.7 221.7 250.5 Feb. 109.0 254.0 210.6 115.9 59.S 94..2 302 9 2193 Mardi ~ _ 110.4 341.0 209.1 12G.4~ 106.4 7.06.9 447-5 301.3 ~flri7 11i.S 3SS-7 244.1 126.5 121.6 107.7 463.4 39$.5 May- 136.$ 392.2 250.7 123.4 97.4 I 91.7 Y 361.4 381.1 J~nc _ 149.5 430.0 260.0 123.G~ 111.:' 102.6 400.2 376.5 ^ J?lY ? 1615 429.3 i 2462 124.2 1.3.9 I 102.0 548.6 391.8 .Aug. N. 191.0 I :I i i.1 259.8 124.2 123.9 105.6 641.0 442.1 Spec 193.5 485.5 246.7 128.5 11i3 102.1 860.9 Occ. l i 4.1 ~ 513.7 ~ 239.9 136.4 1215 129.1 1004.0 I~66.U Nuv. ~, 1659 563.: 260.2 132.9 11C:.1 128.8 975.0 55^ 9 Dec. 152.; ~ 556.0 ~ 284.(1 133,7 1'x3.0 112.6 102.0 . i 456.4 Jnn? 1947 144.6 ~ 546.7 2915 135-0 955 110.5 1103.2 475 9 Pr6.` ~ 146-9 591? I 289.(1 129: 9C-6 111.7 1151.6 . 439.4 Mardi 144.6 (07.8 i 270.8 140,0 115.6 131.5 1432.9 582.6 ?pril 167.2 627.1 i 303-1 190.0 118J~ 136.2 1607.9 608.8-- Mai ~ 175.6 627.3 293.4 149.1 722.9 144,3 17802 620 7 Jne ~ 133.3 rv 634,5 ~~ 309.1 151.1 713.9 1302 1661.1 . 556.9 July 2045 C>29? 2932 7.49.5 96.7 95.5 1206.4 3915 Aire. 229.5 642.5 '~ 2v'1.U 137.9 93.7 S9.1 1250.8 _ 371.2 Scpr. 230-4 6662 ~ 255.5 ~ 140.9 _ 93.S ~ 92.9 1-0~30-7 42=6.7 Ocr, 2145 I GB?`-.5 264.0 1509 w 99.4 I 101.9 1516.2 =451 7 V _ _ ~ - - l . c.v. `~ 159.1 ~ 653.9 "`~ ?acity has been designed ~,nd put into opetatioin. This plant is being ex- tended to 1,000,000 cu. ft. per day. The admission of controlled quantities o? air into the base of the vertical retorts rau?~ed' in a considerable increase in coal throughout anal gas production from the installation and also resulted in improved operation of the gas producers and increased yields of by-products .in spite of the inferior quality o? coal available for carbonizing during tl"ie year. The capacity of the steam-raising equipment was increased to meet requirexnezats by the installation of a sitx~ple oil-bring equir - ment as a. auxiliary to solid fuel firing. 2. Distribution: Bulk Supply of Gas to Nantao: Arrangetxlents were made to extend the supply of gas to the official residence o? the Bureau of Public Utilities in 11Tatatao, and this supply was txiade available in ,~une 194$? 3. High Pressure Main Liuking Woosung Gas Works High Pressure Distribution System and The Shanghai Gas Company Distribution System: T'he work of laying this znatn cotnmeneed early in ~uly 1948 and ?to date approximately 3,100 feet of main has been laid. 4. Employees Welfare: Two clinics have Veen established for tl~e employees of the Company, one at the Yangtzepoo Works and the other at the Head Office with a stafF xn attendance, comprising a foreign trained doctor and assistant with two qualified nurses. Employees also have facilities for medical txeattnent by three recognized native trained doctors of good standing. i ~ J J Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/0729:CIA-RDP80-00926A005700100001-9 A special welfare allowance to workers in the ;form of addi- tion to xhe basic wage to cover medical services for workers' . families, works' co-operaxive society and schooliz-zg for employees children was also granted. 5. Year 1949: During 1949 it is proposed to reset 16 (sixteen vertical; rexorts and 3 (three producer gas units. It is also proposed to install an electrostatic detarrer which should result in considerable economies in the cost of purifying die gas. 6. p'uture Developmex-t of Gas Sales in Shanghai: 'The zxAaxim.ttzn total gas output recorded so far was 5,263,000 cu. ft, on December 20th, 1947. Whezx adequate supplies of coal are again available iz~. Shanghai, the exxension of the Gas Company gas znanufacxuring plaz~~t with an installation of 30 vertical chamber ovens is projecx- ed which will increase the cttal capacity of the planx to 8,000,000 cu. , xt. per day. (3~) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 3. REHABILITATION OF WOOSUNG GASWORKS _ 1~4s 1. Coke Oven:-The Gasworks was previously in possession of thirty coke ovens. There were, however, only fifteen which were operable at the time 'of the "take-over" An additional five were repaired, and added to service in the year 1946. Ten more ovens were repaired at the begiz~iuing of 1947. The thirty ovens went through a major overhaul which was completed at the end of October 1947, and. axe now being operated day and night to pro- duce gas. Z. producer:-The original design of the Gasworks provided two producers for five coke ovens. There were originally 12 pro- ducers, of which. only 4 were left in normal conditiotz at the tune of the "take-over." The 8 dilapidated ones were repaired toge- ther with the coke ovens. Some improvements were made and steam is adapted to inject air. 3. Sulfur purifier:-Tl~e original sulfur purifier l=ad ;:oo small a capacity,. only supplying sufficient Yo purify 300,600 cubic feet per day.. Due to the increase in productive capacity of gas thew were built four new sets of sulfur purifier which would be able. to purify 1,200y000 cubic feet of gas daily. 4. Mechanical producer,:-The Gasworks oz'iginall.y employ- ed producers to heat u.p the coke ovens. This izxvolved zxiore work azzd the hear produced was rather unsteady, After a Yhor- ough investigation it was decided to install a .razerh,anical pro- ducer to serve all the .coke ovens. The installation of the mechanical producer may be completed before the end of this year. 5. Coal elevator, Coal washing machine, and scrubber:- The original coal elevator, coal washizxg machine and scrubbers were all in a dilapidated state and have, since being taken over, gone through major cleauling and repair. Anew coal elevator was built Yo increase the efficienry of transporting, coal. Tl~e scz'ubber is used ?o remove ammonia in the gas. .As the volume of the old one is ratheY small a new ozze has been built. 6. Gas holder:-The old gas holder of the Gasworks has only a capacity of 100,000 cubic feet and proves to be insuf~i- cient for' storing the gas produced. At present the gas pro- duced in ?the da~~ time has mainly beezz transmitted to Shang- . hai consumers. The: volume of the holder zxiust be increased: in future when more production is zxzade. .T.t is plan-ned to ozder a 1,000,000 cubic feet gas holder from the States and to con- struct high pressure mains to connect with the mains of the ( 3 5 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Shanghai Gas Company so that gas produced durizxg night time ma'y be stored therein. 7. 1Vlains:-The total length of high pressure mains possess- ed by the Gasworks previously tvas 13,240 teeters and that of to ~r pressure mains 11,$69 meters. The high pressure rrxains started from the Gasworks and ended at Ou-yatxg Road. 12,000 meters of high pressure rtzain is eo~v being laid startixzg frortz Ur-yang Road. and ending at Tangku Road to coneect wuth the high pres- sure main, of the Sharghai Gas Company. $. Coznpxessor:-Goznpressor is an essential equiprnerat for transmitting gas. There was only one coznpressor taken over, which after being repaired was insufficient. IxL 1947 ozxe mare uzxit was built. The present transmitting pressure is 4.5 pounds. T'he pressure may be increased to 12 pounds when future expan- sion of productiotx demands. 9. Artesian well:-The site of the Gasworks is at a consider- able distance from the nearest water source- Water used by the Gasworks has been obtaizxed from artesian wells. There was originally one artesian well which after eight years of use had its water source weakened. Zn June 1947 a rzew artesian well was dLZg to supply 15,000 gallons of water per hour. 10. miscellaneous:-Other iznprovemezxts o~f equipments of the Gasworks included tran.sportatiorA, coal conveying, electrical generator, coal tar distillation, etc. Recezxtly, research work of znanufactuxing ammonia sulphate oLlt of ammoxzia is being cozxducted. 3 G ) . Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 4. IMP12OVEMENT OF GAS SUPPLY Dr. T. C. Tsao, Cvznmissivner o, Public LJtiliti.es, yesterday morning repotted tv the 19th Municipal Conference oz~ PU6's efforts for improvement of the gas supply, the SMG, Press Bureau reports. Dr. Tsao stated that in pre-war days there were only a few thousand gas consumers using about one and. a half million cubic feet of gas daily. At present there are zxao?re than twenty thousand. consumers and the daily consumption lxas inczeased tv 4 million cubic feet. Due to shortage of supply many new applications for gas connec- :icn have to be rejected. Flans To Incxease Supply The Woosung Gasworks under PUS is nvw producizxg some 8'00,000 cubic feet of gas, its maximum capacity. The Gasworks is :now ordering a new arttomatic.producer has plant frozxz U.5..A. which when installed will boost the gas supply= to 1,200,000 cubic feet. Higli pressure mains will be built to coordinates with the in- stallation of the new plant. The mains will be able to connect a-ith the high pressure mains of. the Shanghai Gas Company. Surplus gas production during the night can be sent to be stored. in the gas tank of the S.G.C. in Sitzang' road. The plans have ben approved by the Mayor and are being under active execution. (China Daily Tribune, jtezze 5, L94$) Approved For Release 2002/07/29~:v~1 -RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 5. STATISTICS OF GAS SUPPLY ~ariuary, 1946---Septezxt,ber, ],948 Ccrsun j tiun TINY l~rorr rction To1c! Re,rt~le~rrtia! vy Conrorerrie! .Tn~crrrial Tanuary-, 1946 108,416,048 88,556,651 70,919,500 17,636,551 I'chruxrv 108,020,000 97,336,185 79,158,803 13,1,77,382 March 135,666,976 96,635`iG3 76,123,462 20,512,300 April 123,034~,2G7 112,789,501 89,806,554 22,982,947 blay ~ 129,825,034 .115,840,162 i 90,926,199 24,913,963 Jens 124,89),166 120,157,564 92,079,273 28,078,291 July- 121,764,703 115,362,200 88,926,277 26,435,923 Au;;usc 120,288,951 116,401,115 90,158,071 26,243,044 Suprcmbcr ~ 11,6,840,141 115,394,853 86,684,374 28,710,479 Ocrohcr 130,285,028 117,210,226 85,326,419 31,883,807 Nnvcmhcr ~ ~ '135,712,968 126,756,399 89,865,323 36,891,571 T]cccmhcx ! 153,318,172 131,068,476 94,592,492 36,475,984 January- 1947 144,493,646 135,791,132 100,183,630 35,608,512 hchruarv 139,131,000 13~6,992,50U 1.00,860,731 34,431,773 March ~ 1.81,082,000 126,498,200 92,159,400. 34,338,800 April 145,955,000 141,301,600 106,634,249 ~34,G47,351 Ma 143,222,000 136,279,100 102,133,4?U 34,145,830 Jung 143,612,000 142,773,800 108,547,870 y 34,225,930 July 132,545,900 134,051,300 103,309,720 3Q741,53p Agu~sr 122,917,500 120,596.900 97,277,029 23,319,871 Sepremhcr~ ~ 129,261,000 118,114,500 91,631,591 26,482,909 Ocwher 147,177.,400 ~ 121,891,740 90,079,167 31,901,573 Novemhar ~ 149,635,560 135,191,920 9G,933,52n. 33,258,396 Dcccmhcr ~ :60,723,000 136,377,770 96,585,207 39,792,563 January 1948- i 153,530,000 139,741,420 104,982,023 34,759,397 Pcbruarv i 129,572,700 127,035,910 96,32;,405 30,508,505 March 142,883,000 117,966,390 82,592,654 35,373,736 April ~ 130,568,100 124,865,070 85,124,673 39,740,397 D1-y ~ 126,414,000 113,848,300 77,345,769 36,502,531 June ~~ 119,663,800 114,395,700 76,196,669 38,199,031 July 132,888,460 109,031,350 74,90),919 34,121,431 AuGusr ~ 112,900,500 106,616,550 77,145,497 29,6671,053 Septemhcr 116,468,400 108,210,750 75,980,780 32,229,970 Approved For Release 2002/07/~1~~: CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 PART V TRANSPORTATION 1. PROPOSAL p'OR ORGANIZING THE SHANGHAI TRANSIT COMPANY, LIMITED Proposed by S.M.G.. and passed in principle by the City Council in its 7th Session, September 14, 1948: 1. The Bureau of Public Utilities, carrying out the policy of xhe Shanghai Municipal Government, has inaugurated a city bus service since. V-J Day through the nnanagement, provision- ally; by the Shanghai Transit Planning Board organized under the Chairmanship of Commissioner T. C. Tsao (known herea?*_~:r briefly as the Planning Board). During the 3 yeaxs of building up the Bus Service, 3 hundred new buses have been purchased and bodied, public transportation service on 15 xautes started, with the result that the rough framework of a bus coax~pany has been formed. Pot the purpose of further expansion and. to arouse the interest of xhe public to invest in municipal recon- struction, it is proposed that tl~e Shanghai Transit Compata.y be incorporated and its shares open to sale ?to the public. 2. The capital of the Coixxpany shall be G.Y.~'10,000,000 divided into 1,000,000 slxares of G.Y.$10 each. 3. At the formal incorporation of the Co~tnpany, the Shang- hai Municipal Governmex~t shall inves*. G.Y.~5,000,000 :or 500,Q00 shares. The orhex 500,000 shares will be sold to tlx;~ public through the City Bank and/or other authorized banks. 4. The present assets of the Planning Board, including equipments and xxzaterials is worth over G.Y.$8,290,000 whereas the liabilities of the Planning Board amounts toy G.Y.~250,000, leaviig the net worth of the Planning Board to be G.~S'.$8,04.0,- 000 or around figure of G.Y.$8,000,000. The property avow belongs to ?the Municipal Government and will be Bald to the haw Company. Estimates of the property together with detail inven- tories will be printed and may be read by future subscribers through undexwri~ting banks in order to show its auxhenticity. After the sale of the _500,000 shares, the Planning Board eau receive G.Y.$5,000,000, 3 million of which will be returned to the Municipal Treasury and xhe remaining two? million can be used for expansion and ixxi.provement purposes of the new Compar._y. (39) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 5. To ?give protection and guarantee to the Company, a~l~e Municipal Government shall grant it monopoly of services with. a franchise signed by both parties. G. The organization o? the Company and the issuance of slxares' will be made according to the relevant laws. The follow- ing are draft measures:. (1) T'he Mayor, the Secretary General, and the Commis- sioner of Public Utilities of the Shanghai Municipal Government, the Chairman of the City Council, the Chairman o? tl'ie ChatnUer of Commerce, and the Ghairtnan of the Bank's Association, etc. shall be sponsors of the Company responsible for writing down the regulations of the Company and tlxe regulations of the issuar_ce a? shares. (?) ~Uith the eaceptian of the Mayor, tkxe S'er_retary Ge,-x- era1, and. the C'oxnmissioner of .l7ublic Utilities who are repre- sentatives of the Municipal Government, all the other sponsors will be requested. to purchase one share each, out of the 700,000 shares held by the Municipal Government. Those share_ sold to the sponsors may be recalled by the Municipal Gvvermtie:xt at any time; if necessary. (3) The sponsors shall, according to Article 1.33 0? the Com- pany l,a~.v, apply ?or registration to the Ministry of Industry and C'ommerce_ (4) After the receipt of the Ministry's official approval the City Bank and, other banks shall openly advertise far sub- scribers. (5) After the. full amount has been, collected, an inaugura- tion meeting, shall be conducted and according to the regulations of the Company election a? directors and supervisors shall b~ trade. (6) The Municipal Government shall by virtue of its vos- session or 500,000 shares appoint half o? the total number of directors and supervisors while the other half shall be elected from the other shareholders. ~') The evaluatiaxx 'of the properties a? the. existing bus .service under the auspiees of the Planning Board has to be made by a joint committee consisting of repxesenta?tives of the City Council, the Auditing Department, ?th.e Municipal Govern- ment, the 'Bureau of Public Utilities, and the Accouxxtants' Assa- ciation Together with 4 other technical experts. Attached: Brief estianate: ~ ~0 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Estimated Worth Percentage 12emarks (in gold Yuan) T and 519,640.00 6.26% Buildings 981,846.60 11.83 ~/~ Bus and equiipment 4,982,135.66 60.03?h Shap equipment 89,283.84 1.08010 Tnnls _ 27,127.75 0.33?i~ Furni~tuxe and miscellaneous 189,806.17 2.29?l0 1`Iaterials 1,223,562.24 14.74% Fuel 286,161.07 3.44`0 As the Transit Co. has. only been passed in prizicipal, the drafted franchise is withheld ?rom publication. ~1 ~} Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-0092614005700100001-9 $etween twenty to thirty buses are lying, idle i.n the repair shops of the Shanghai City Bus Company awaiting xeplacetxaents Fox worn-out'. gears and other vital parts, Commissioner T- C. Tsao of the Public Utilities Bureau told the "North-China Daily News" yesterday. This is one of the causes of the overcrowding on the city buses on every route, he pointed out. An iinpxoveznent is is expected within three weeks' time. Comtn.issioz~er Tsao revealed that tlxere was a temporary shortage of gears and other vital parts to replace; those which have worn out. The bus company has ordered about Five dozen gears from the United States but the shipping, strike there has delayed delivery. In the ineanti;nne efforts are being made to cast and x~a.anu- facture the gears locally. These are expected to be ready within the next three weeks and to enable the idle btXSes to be put back into service. The Comn~issi.oner told. the "N.C.D.I~T." reporter of the "preventive maintenance" system, at present in use by the Shang- hai City B'us Company. When a bus has run, for 2,400 kilometres i~t is subjected to an inspection which includes, among ocher minor jobs, checking of lubrication, tightening of screws and changing of anti-freeze solution (in winter). At 12,000 kilometres there are replace- ments of minor ports, witl-; special attention paid to clutch facings and brake linings. At 36,000 kilometres engines are checked and piston zings changed. At 72,000 kilometres the bus und:.rgoes a general overhaul at the repair shops where repairs of wooden or aluminium bodies are carried out, cylinders re-bored and the chassis inspected For any signs of strain. Doubled Life This system, Cosnm.issioner Tsao pointed o?ut, has been Found to double the life of the city company's Dodge-built buses. He added that ten out of the 300 buses in Shanghai have been scrapped For spare parts to be "cannibalized" by those i.zi. operation on. the road. Comtxaissioner Tsaa also revealed that "plus-gas" is being used by the Iocal buses. This is a crystallized chemical cotx~,- pound, composed of hydrogen carbons which, when put in the Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 intake mixer, enables the bus engine to, idle'.at red-light stops at a speed of 300 r.p.m. ins~teaa of the usual 600 r.p.m. Petrol Saving Tb.e use of "plus-gas," in the buses, he revealed, has resulted in a' saving in petrol of from 10 to 15 per cent by th.e Shanghai Ciry Bus Company_ The Commissioner said that the city authorities was hoping to introduce "plus-gas," which has been imported fronn England, to s*rall cars here. Zt is now being produced locally by the Cen- tral Chemical. Works, under the auspices o? the National Resources Commission, who expect to turn ou.t lOL' kilograms of this chemical compound per month. ``It costs about 20 to~ 30 per cent the price of gasoline," Commissioner Tsao said, "and by its use we ate saving some for- eign exchange too:' (North China Daily News, November 12, 194$) ( 4 3 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 3. TRAFFIC LIGHT IMPROVEMENTS AND SAFETY FIRST WEEK During prewar days when traffic conditions in Shanghai were fairly normal, there were only a limited nttmb~r of trafFc lights, installed by the ex-International Settlement, the ex-French Concession, and the 1~Iunicipal Government. The 3 separate poli- tical units were respoiasible for the maintezzaz-ice and iixzpxovemer_t and additional installation o? traffic lights in their uidividual administrative areas. Since the rendition of the Settlezrzent and the Concession after V.J. Dav, the Bureau of Public Utilities assumes sole charge of the traffic lights of Slxangh,ai. Two guid- ing principles of the Bureau's work regardizag traffic lights are, first, to increase the quantity of traffic lights azid, second, to im- prove their quality. (1) Quantity: The local population increased from three million at the time. of the "take-over" to five and half million no-w and the number of vehicles increased from 151,998 to 33?,- 734. The consequence is that trafh.c becomes extremely congested, making it much more difficult for the. police to direct. T'o im- prove traffic conditions anal. to alleviate congestion, the Bureau h:,~s installed, kp to the end. of August 1948, 50 new sets of traffic lights. (21 t'~uality: The traffic Lights formerly i.~stalled in Shanghai have only. two lights, red Iight and green light, operated by mar... Dimensions of the covering glasses were respectively 6 inches, 8 inches, azad 10 inches. After careful studies of the Bureau, it is decided that all the new traffic lights shall have 8- inclz covering glasses and tl~e lights with Crinoh and 10-iiich cover- ing glasses shall be gradually abolished. There are in addition two ne~v eouipments which are briefly described as follows: F'_. Automatic synchronized traffic Light: T'he Bureau has purchased froze abroad a set of automatic sy.nchrozzized trafltit lights with red, green and yella~w lights, which were delivered in summer o F this year. They axe originally intended ro be installed alarzg Nanking Road (Eastern.) and Chung Cheng Road. (ir'astern). But due to the wide diversity in traffic density and the cozasider.- able di:9??ierence in the distances between street crossings within *_he l`?ankin~ Road (Eastern) district, the lights originally izitend- ed for installation there were u-istalled in Nanking Road (~Xjest- err_). ~Xiork Isere is divided in, two stages. The first stage in- stallation is made at the section from Tihwa Road (I`Torthernl to Shensi Road (Northerzz) and proves to'be quite efl~ecrive. Vehicles passing throu;h that section withixx the city speed limit can pass (~ ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 without being'stopped by red light if they see a greezz light'at the beginnin?q of the section. In the second stage, installation cf thy automatic lights will be znadc for a section of l~Tanking SZoad (Western.) froztz Chung Chung Road (Northern Z) ~`i~laangpoo Road (Northern). As mentioned before the autocratic lights compose of three lights, red, green and yellow. All axo familiar with tlae meaning o the red and green lights. A little explana- tion may be necessazy for the yellow lights. ~;~I-en gel-iicles or ped.estraans have, before seeing the yeilo~v ligh?, already passed the white lines marked at the street intersections.. ti~.ey should proceed quickly tkzrough the intersection. When before crossing the white lines the vehicles ar pedestrians see a yeliov~ light o~~, they must stop immediately. For the set of automatic tr.afFic lights installed in Natzking Road (Western), a rycle takes 40 seconds, with ZO-second. interval for the green light, 5-second interval For the yellow light and 15-second interval for the red light, there being no yellow ligl-zt when the traffic light chaz~ges from red to green. 'B. Electric Bells: Electric bells :vere installed at fifteen important street crossings to facilitate the direction of traf'nc. Vehicles and pedestrians passing through the intersections can not fail to bear the sound of electric bells which announce shifts of the traffic lights. The installation of the electric bells produces very good results and whezz the TvIunicipal Treasury permits, more electric bells will be installed. Statistics Showing The Installation ? of Txaffic bights ]District 194 1946 1.947 1948 V~'hangpoo North 61 79 $7 91 Whazxgpoo South 49 49 52 51 Wu Pai - 1 9 9 W a Nan - 5 5 7 Ivlunicipal Center - - - 1 Total _ 110 134 153 lb? Percentage of Increase over 1945 _ 0 21.7 39.1 45.5 Remarks: There are now 19 sets of autotzzatic traffic lights in the Northern Wl~angpoo Districts. Approved For Release 2002/07/29~:~~1i~-RDP80-00926A005700100001-9 Approvec# For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 4. THE 1~OR7C OF SHAI~IGHAI .AND ITS FERRIES The role of .modern ferries, that might be called upon to perform in the ecanomi.c operation of the part, in alleviating street arzd river traffic cozzgestion and in setting up a rJa~ttern for tkze Future development of the metropolis, is often overlooked and uziderestiznated. They ane treated as a shipping concern by many; and con- sidered obsolete, inadequate and mediocre as a zxzean for public transportation across the Wha.ngpoo by others. It is true that a Ferry service of low standard, efficiency and tra.fhc rapacity lzas little economic value and xherefore no place in the transportation of tomorrow. Tt is also true that the existing municipal ferries are far from beu-zg adequate and mo[letn. Nevertheless, reason- able standard, efficienry and traffic capacity can be achieved through sound engineeru-~g planning and sensible zYzanage- rzzent, especially terminal traffic planning and management, and existing backwardtzess of thezxz should not be construed as a death sentence for tlxeir Future possibilities; if pro-per efforts be directed for their improvements. 1VIodern ferries are performizzg splendid services in various zxzetropolises and more ferries, of znoderzx design and construction, are being built For the future abroad. The 'Bureau of PLiblic Utilities, since starting functioa-zing in September 1945, has considered the port's intr'a public transpo~-ta- tion problem from azi over-all, standpoint and. on a city-wide basis. The ultimate transit systeaxz izi Shazaghai shall be a cozxzposire wkzole consisting o? surface lines---motor buses, trolleys and trams =on the land and ferries across the river. Tlae ferries, both passenger and vehicular, will be constructed a~t twenty crossings spaced at Z kms. on the average and they shall sercre as .links between surface transit lines ozz both sides of the river, so that the flow of passengers and vehicles may be continuous ar_d not interrupted by the gap o? water. Such an arrangement, wla.en successfully carried out, will avoid traffic bottlenecks and should afford much convenience to the public in crossing the river. bast Works During the first two years of the administratiozx, it is gratify- ing to say that the war battered ferry facilities have been largely rebuilt or repaired, making possible the five :ferry services naw in operation for passetzgers. In the meantime, the administration Approved For Release 2002/07f~2~s: CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 also feels fortunate it-t overcoming odds and difficulties to put the first vehicular ferry of the port, located at Z_ohkapang Road, Nantaa, to serve the public. A~~ average of 50,000 people and 100 trucks at1:1 otb.er vehicles are being served daily at present. Passenger and Vehicular .Projects It should be admitted that the existing municipal Ferries are low in standard, meagre iz~ Facilities and cramped in space. How- ever, plans have been worked out for; 1. a modern passenger ferry (`Downtown') service betweext the $und. in Shanghai and Poorung Point across the river; 2. Vehicular and passenger se_- vice between Lay Road in Shanghai :end Hvlt's Wharf in Pootung. The `Dvw~ttown' shuttle service fer passengers will ultimately have one elaborate terminal at each end inrorporating a bus and vehicle terminal, a concoursey shops, public utilities, radar, radio telephones and other features, c'onstitutit:g the last word. in com- muting service. This shuttle service, when materialized; will rts- sure and expedite cozxtmunity development in Pootung besides saving thousands of people their countless Izours wasted daily in commuting between homes and offices. At Lay Road, shuttle service Far passengers and crehi.cles will be provided side by side ultimately. The plan provides for pas- sengers terminal facilities and bus and vehicle plazas For the service of passengers. The through vehicular traffic, which 'is planned to be segregated, in the terminal areas, From local traffic, passenger or vehicular, will be an important move to rationalize the cargo movement of the port and thereby to rejuvenate the stifled wharves in Pootung from their preseizt plight. Xn both projects, water. and street traztspoa-ta.tion will be closely linked; terminal traffic has received utmost attention; and the schemes, co~ixtprehensive as they are, will permit progressive development to suit traffic demand as well as fmaricial resources. i ~~ Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 5. THE NANTAO VEHICULAR FERRY SERVICE SLOWLY BUILDII~TG UP I'acili*_.ies fvr cross-river vehicular traffic in this port was not available until O'ctobet 10, 1.947 ~vhen the Nantao? Vehicular Ferry linking Nanmatao in,' Pootung anal Lohkapang ii`oad in Shanghai was successfully tried out and about one month later, opened to traffic. It is opportune here to. point out, that this ~>ehieular service although zx~uch below expectations in vehicular traffic thLis fax due largely to~ th.e lack of roads in Pootung, has already demonstrated its pioneering influence in port develop- ment, as displayed by the gtoCVing number of significant industxial installations and sire procurezxnents and the general appreciation of land values there. The location, which, encountered protracted alifficulties, was the only passible alternative and was decided upon after long and serious considezations. The balance sheet o? advantages aazd disadvaa,~tage are the kollowing. On the advaa-~?tages side. 1 absence of expensive ox permanent structures and presence of cheap trades using the sites; 2, straight stretch of river channel; i. fairly direct 1,b00' crossing; 4. important wharf properties in the terminal vacinity at Pootung.; 5. Proximity of Pootung terminal to the Pootung Highway and the cotnpar'ative simplicity in the building, o? ?the approach road; 6. important roads-the Lohkapang Road to Sicawei and tl~e Wai-ina-lu to "downtown" -leading to the Shanghai terminal. On tlae negative side: 1. share space at either' end being to o? cramped to pertnit a good vehicle plaza; 2. "l;nd-on" berthing, the most efficient a.rrange- ~nezxt, being impossible at the sites; 3. space between the noxinal Tines and the shore line being tva cramped to per;nit liberal construction Under a set of rare and exacting. conditions, unique engi- neering, peculiar. to this particular projzct, :vas worked ar?t. The vehicle, in crossing the river bonding line, goes through a 90- degree curved R.C. trestle ramp to a 60-ft. steel-trussed floating ramp, then boards the car-float or ferry at its bow or stern and then lands at the jetty on the opposite share through the other, end of the ferry. The curved roadway has an outer radius of 40 ft., and a width o? 12 %z ft. and is super-elevated. The de- sign loads, being 15 tons and 10 toaXS for the fixed and movable structures respectively, will ultimately permit 20-ton vehicles o? 28-ft. length or less to pass with safety. TIze floating ramp is supported at one end on seats over R.C. piers and at near the other end by the hollow legs of an. U- ( 4 8 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 shaped pontoon, whose main body is submerged. This enables rite floating ramp to rise and fall with the tide ranging 8 feet daily, while hoisting device is provided by an over-head frame and a small laazadwinch to adjust the floating end. of the ramp which should rest securely on the seat at either end of the car- float for moving traffic. 1=or expedienry, two cor_verted LGTs each carrying 8 tr-ticks or 14 cars are being used. Their berthing and mooring along- shome is facilitated by 60' x 5' x 5' mooring pontoon, secured in _ position by dolphin piles at irs ends and shore-side. Underlying principles in the planning of this project are: 1. eCottomy in construction and operation; 2. simplicity, safety azzd speediness in berthing; 3. speediness in embarkation and disembarkation of vehicles; 4. orderliness and efficiency of traffic in terminal areas and adjacent streets. Traffic signs and signals, night illumizzation, filling stations, and various. utilities as called for in the original plans ~vill not be executed probabTv until a later date together with important structural improvezxients now in abeyance. Naturally tlae efCac'iency, service and stazzda.rd are not what teas expected ultimately. Th.e wharves azad godowns in the Pootung vicinity due to inaccessibility of roads failed to pro- vide any traffic which is disappointing. ]Experience in operation also proved that "along-side" berthing is least desirable far the local ferries- Approved For Release 2002/07/29 : ~CI~-~DP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 G. THE YANG'I`SZEPOO VEHICULAR & PASSENGER FERRY PROJECTS Summary of Report Civil 'Eztgineex & Architect August, 194$. It is stipulated in the Franchise Agreement between the Shanghai Nlunicipa.l Government and the Shanghai City Ferry C;a. that the latter shall undertake the construct a velxic'ular ferry a~t Lay Road in 1947 and a passenger ferry at 1Vling Seng Road in A948. In pursuant o? this stipulation the vrriter is privileged to xixalce a first hand study of the feasibility and advisability from the economic, traffic and engineering angles. These proposed services, having their locations 'idezxtical- be~tween Lay Road in Shanghai and Nirzg Seng 12oad (Holt's Wharf) in Pootung-must be treated togeher in the entirety. The Project, when materialized, will provide a transportation link across the Whazxgpoo of unsurpassed importance; will rejuvenate the wharves and godowns izx 1?ootung, whose enormous investments of over 100 zzzillion dollars (U.S.) axe now at stake, due to lack of cross-river transportation, to their proper place, utility, and value in port operation; will set the patterza for the port's future growth and decentralization and give impetus to e~:pedite the development of pootung; and will appreciably improve the down,-tci~.-n street traffic. As an investment, the project is self-liquidating and will give steady and attractive returns comparable to that of any utility. T'he sites offer unusual opportunity for Constru[tion of small-scale buy: modern and efFzcient ferry services, using `double- headers' and closely linked with bus services at both ends. The vehicular service which is an urgent demand by wharf and gvdown owners and shipping cotxz.panies will foam the first stage of the development, taking about 9 mozidls. The facilities for passenger service including the boarc, the tetzninals and vehicle plazas will form, the second stage of the development,. and will take a year. The progressive investment should facilitate financing. ( 50 ) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Fir the first few years of operation, one car-float and one doublesdeck passenger boat will probably suffice and or. this basis, the net return on capital investment will be: Vehicular traffic Passenger traffic 8.11 %a ],2.28 %~ Ultinxately, 3 car-floats and 3 passenger boats can be operated. with a capacity of 1,500 to-tors trucks in a day of 14 hrs. and 120,000 people in an 18-hr. day, thus the working prof}t will be greatly augmented. The capital expenditure has been estimated as follows: 1st stage-Vehicular Ferry Lay Road Landing .. G.Y.$380,000.- 1VIing Seng Road Landing .. 187,500 - 1 Car-float (double-header) 110'-0" L. x 30' x T-0" D. Working Capital $0,000.- .. G.Y.$967,500.- 2nd stage-Passenger Ferry Lay Rvad terminal G.Y.$1,315,000_---- Ming Seng Road Tezininal .. 1,08'5,000.--- 1 Ferry boat-450 passengers (2-decks & "double-reader") 300,000.- Working Capiral .. .. .. 200,000.- Total G.Y.$2,900,000.- Approved For Release 2002/07/29 ~ CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 THIS AGREENTENT is znad.e and entered izzty at Shanghai, China, this ...... day of ..........194.... by and between. the Shanghai .MMunicipal Government (hereinafter designated as the "Mzinici,pal Government") of one part and the Ciry Ferry Company, Limited (hereinafter desigttated as the "Company") of xhe oxher parr WHEREAS to balance the development of the two banks of the Whangpoo River the ?Municipal Government sponsors the organization o? the City Ferry Company, Limited, and Whereas the Company is granxed sole rights by the Municipal Government to operate ferry service within the Municipality of Shanghai. NOW, THEREFORE., ?or and in consideration e? the mtixual covenants and. agreements on the part of th.e parties hereto Yo be kept and performed as hereinafter set forth, TTr.S HEREBY AGREED AS FOLLOWS: SECTION Z FRANCHISE AREA:-All distrir_ts .tnder xhe juris- diction of the Municipal Governznsnt. SECTION TT INVESTIMENT OF THE ]MUNICIPAL GOVERNIMENT_ The :ferry boats, urharves, equipmenxs and installations, etc. of the former Municipal Ferry Service shall after proper evaluation be considered as the investment of the 1Muni.cipal Government in the Company. SECTION Il"T O'PERATIO~N RIGHTS:-T'he Muuic'ipal Governznezxt grants sole rights to the Co~szpany to operate ferry services on xhe waterways within the Municipality to carry passen- gers with or without hand baggages and vehicles with or without cargoes loaded. This Agreement shall be effective for a term of Thirty (30) Years from and after the final dare of the signing of this Agreement by the lMunicipal Gvvertamezxt and the Com- pany. The Municipal Governzxzent agrees not to grant the right herein stated to any third party, which however, shall not be considered to inr_lude the following:-- A. Lighterage anal handling of cargoes on the waterways of the IV~unicipaliry. B. Ferries operated by individuals, bodies or plants ?or their private uses. Also ferries nox on regular operation for the carrying of passengers and or vehicles for the public. C. Timber man-powered ferry boats or yachts, without definixe azxd fixed operation lines. Approved For Release 2002/07/29 ~ CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 D. Routes which the Company is at present unable to immediately establish and which the Municipal Gavera-i- ment may therefore permit, far period or successive periods each of less than one year ni duration tl~,e setting up of other temporary ferry services. In the event ~tlaat the Company wishes to operate any of the aforesaid, routes, it slxall apply to the Municipal Government before the expiration of the term granted, to the .respective temporary service and. shall im augurate services immediately upon the suspension of operation of the concerned temporary service. E. Other Iong distance ferries from. nearby cities ter- minating within the Municipality or from the IVIuniripality to tl'ie nearby cities with not more ;.ban one stop within the Municipality. SECTION IV OPERATION ROUTES:- A. The Municipal Government grants permission to the Company to first resume operations on the follotiring routes operated by the former Municipal l~'erty Service: 1. 17eking Road Bound to Woosung vi.a Situ, Chinning- tse, TungIcau, Kaochiao, etc. 2. Tungmen Road to Tungchang Road. 3. Tungkadoo to Tangc~hiao . (shall be equipped far the carrying of passenger cars.) 4.. Chinwa,+-igtao Road to Chicho.ngsang. 5. Tinghaichiao to Ghinningtse. Services on tl~e above lines shall be resumed within six months of tlxe date of the signing of the Agreetent. B. The Company shall at .the time of the signing of this Agreement submit a preliminary five-year plan wlxich w-hen approved by the Municipal Government shall be carried our in stages. The Company sl-ia11 place initial emphasis on the planning and inauguration of service on one passenger. line and one truck ferry line, which shall be open to public use within one year and two years respectively after having acquired the right to the use of the necessary wharf, shore line and land, all to be with the cooperation of the Municipal Government. C. In the interest of the public, the Municipal Government may negotiate with the Company to alter or add to the existing lines and to increase the number of ferry boats. (53) Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Approved For Release 2002/07/29 :CIA-RDP80-00926A005700100001-9 Unless for special and valid reasons the Cotnpaz~y may not refuse to make such alterations and% or additions. In the event tha~r the company should desire alterations or addition to the routes fox business or operation reasons, it shall apply to the Municipal Government for approval. D. The Company shall nvt raise any objectiorz when the Municipal Government shall in future construct a. tunnal or bridge to span the Whangpoo River. SECTION V 5ERVIC'E.-wring the efl:ecrive tertxz this Agree- rzent the Company shall talaizxtaizx a service of high ef5.ciency with adequate and up-to-date equipments to the satisfaction of tl"ie public. The schedules of the various lines shall be submitted. to com- petent authorities under the Municipal Government fcr approval. When the operation of the Company shall have itnl.~roved in the future, the Municipal Government txxay instruct the Company to further lift the standard of service which the Company shall not refuse to comply without valid reasons. SECTION VI EQUIPMENTS:-The Company's ferry boats, wl-ta;.

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