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The water department was bought at a cost of #127,311.94. Improvements to the plant from July 31, 1944, to December 31, 1947, amounted to #36,144*13* Property retired totalled #16,313.02. Depreciation taken during the 3 5/12 years amounts to #11,393.20, making the net value of the plant #135,739*90. After allowing #6,302.57 for materials and supplies and #2,301.33 for working capital, we have a net rate base of #144,344*05* The operating Income for the years 1945 - 6 and 7 was #12,655.95; #5,437.02 and #10,324.97, respectively. It will be noted that the income for the year 1946 was considerably lower than the previous year. This was due to the expenditure of approximately #10,000.00 for the relining of the walls at the reservoir. The oper­ating income for the year 1943 should be approximately the same as during 1947. The rate of return in 1945 was 9*30$; 3.77$ in 1946 and 7.47# in 1947. The respondent proposes to spend #21,950 during the year 1943 for improvements and will retire property from service in the amount of #5,600.00. This will Increase the capital account to approxi­mately #161,194.05 on which will be realised a profit of about #1 0 ,900.0 0 , or 6.32#. From the testimony and evidence on record, the Commission is of the opinion that the company’s meters were not faulty as claimed by some of the complainants, but many billings were inaccurate due to erroneous computations in the office. Adjust­ments were made by the company in subsequent months to correct pre­vious overcharges or undercharges. The Commission considers the rate of return of 6.16# from electric power operations and 6.32# from the operations of the water department as not being excessive on the value of the property used in the public service. The Commission is also of the opinion that the rates presently charged are fair and reasonable. An appropriate order will be entered dismissing the complaints. -9-