WATER-POWER RESOURCES 
The need for a systematic development of the water-power re- 
sources of the islands led to the creation of the Bureau of Water Power 
and Electricity by the Netherland East Indies Government in 1917, 
to control and direct operations pertaining to the exploration, suvey, 
and development of water power. The function of this bureau is not 
to monopolize the water power of the Netherland East Indies for 
governmental purposes, although certain favorable sites will be re- 
served for general lighting and power supply and for possible further 
extensions to the Government electric railways. The remainder of 
the water resources will be available for private development under 
the direction of this bureau. 
The bureau makes preliminary surveys of sources of power, passes 
on all applications for concessions, supervises power-plant construc- 
tions, and regulates the generation and distribution of current. 
Applications for concessions for the erection of generating plants 
and the transmission of current for light and power must be addressed 
to the governor general, who transmits the application to the bureau 
for review. The application must be on official stamped paper and 
prepared according to the rules prescribed in Publication No. 2, 
Rules and Procedure, of the Bureau of Water Power and Electricity. 
As security for the costs, the applicant must make a deposit, the 
amount of which depends upon the importance of the work to be done. 
The deposit may range between 100 and 2,000 florins. 
Likewise, applications for concessions for the use of water power 
must be addressed to the governor general, whose action depends upon 
recommendations made by the bureau, which are based upon an 
investigation of all details. Decisions on these applications are 
usually long delayed, as is the case in applications for mining and 
other concessions. 
Rentals are changed for the use of water power in cases where the 
installation develops more than 100 horsepower. Following is a 
schedule of the charges for the use of water power: 
1. A maximum of 2 florins for each potential horsepower above 100 but 
below 1,000 horsepower. 
2. A maximum of 1.50 florins for each potential horsepower from 1,000 
to, but not including, 10,000 horsepower. 
3. A mata of 1 florin for each potential horsepower from 10.000 
npwardgd. 
These rates are in the nature of rental and are payable annually 
during the life of the concession. . 
Water-power concessions for a capacity exceeding 100 horsepower 
are usually granted for 40 years under terms and conditions specified 
by the Government. Water-power concessions for sites where less 
than 100 horsepower are available are granted free of charge and are 
subject to simple conditions. Electrical licenses for public-utility 
companies are usually granted for a fixed period, not exceeding 40 
years, whereas licenses for private purposes, such as industrial and 
commercial enterprises. are terminable at notice. 
WATER-POWER CONCESSIONS 
The annual report of the Bureau of Water Power and Electricity 
for the year 1928 shows that there were 56 valid water-power conces- 
sions, of which 42 were held in Java and the remainder in Sumatra. 
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