31 



The St. Lawrence Power Co. contended that, during 



Anchor Ice ^^g winter of 1917-18, ice difficulties in the canal lead- 



Reduces Output . . , ,., TwT^riii 11 



mg to its plant at Massena, N.Y., had reduced the 

 output of aluminium by 7,000,000 lbs.; that there was urgent need 

 of this metal for war purposes, and that the United States Gov- 

 ernment was pressing them to increase their production. At the 

 same time, the cross-examination elicited the information that the 

 construction of this dam would increase the available power at 

 their Massena plant from its present maximum of 73,000 h.p. to 

 200,000 h.p. As the company estimated the cost of the dam and 

 appurtenant works at only $350,000, this application, if granted, 

 would be an enormously valuable concession. 



Hon. Hugh Guthrie,* Solicitor General, opposed the application 

 on behalf of Canada. He demonstrated that, under the terms of 

 Article VH of the Ashburton Treaty, which provides that all channels 

 on both sides of Croil, Long Sault, and Bamhart islands shall be 

 kept " equally free and open," the International Joint Commission 

 had no jurisdiction unless and until the consent of the Government 

 of Canada had been obtained. The Commission of Conservation, 

 Canadian shipping interests, and other organizations urged most 

 strongly that no proprietorial rights whatsoever be granted to the 

 applicant company, but that all works placed in the St. Lawrence 

 be constructed by Canada and the United States jointly. This 

 action was in conformity with the policy adopted by the Commission 

 of Conservation from its inception, namely, steady opposition to the 

 granting of control of the St. Lawrence to private interests. 



Eventually, the International Joint Commission 

 Jp*"* . . gave decision, t stating that, although they were un- 



Consents Certain respecting the question of their jurisdiction 



as affected by the Ashburton Treaty, they were granting the right 

 to erect and maintain the dam for the duration of the war or for 

 five years, whichever term should be longer. 



For all practical purposes, the Aluminum Company of America 

 was the applicant for this highly valuable privilege, and, therefore, a 

 brief reference to this corporation may be of interest. This companyl 

 absolutely controls the manufacture of all aluminium** in North 



•Hon. Mr. Guthrie's address is such a complete and convincing statement on behalf of Canada's 

 rights and clciims that it has been printed in Appendix III. See p. 65. 



fThe Decision is printed as Appendix IV, p. 81. 



tThe Mineral Industry during 1917, pp. 12-13, states that, comniencing with a capitalization 

 of $1,0()0,(»)(( in 1880, it now has an authorized capitalization of $20,000,000, on wliich it paid a 

 dividend of 10 percent in 191ft; that "the company has invested about $70,000,000 of undivided 

 profits in its business; its present investment in plant is about $80,000,000. The market value 

 of its $20,000,000 stock is probably $l.S0,000,0OO." 



••For further data respecting aluminium, see Appendix I, p. 51. 



