Budapest general electricity ltd
The Budapest General Electricity Joint Stock Company was founded in 1892 with a share capital of 3 million crowns. Under the terms of an agreement with the capital, the company produced alternating current and direct current electricity, but could only sell direct current electricity on the market. During Teleki's presidency, the company achieved considerable success, increasing the length of the electricity transmission lines by a factor of 50 in about 15 years. In the early 1910s, the company came increasingly under the control of the capital's public utility company, which, by creating competition in the market, forced the company into permanent liquidation in 1921/1922.
Long description
The first electric lighting in Hungary dates back to 1878, when the iron foundry of Ganz and Company and Ganz Street were lit by electricity for the first time. However, it was not until 1893 that public lighting began to be used in the capital: the reason for this was that in 1879 the capital city of Budapest signed a contract with the Allgemeine Österreichische Gasgesellschaft, which was the only company to win a concession for the provision of electric lighting. This contract was only cancelled in 1891, which also gave the capital back the right to establish its own supervision of the city's electricity supply through contractors. By the 1890s, the solution to this problem had become a matter of real urgency, given the significant increase in demand for electricity.
The Budapest General Electricity Joint Stock Company was established after the capital city of Budapest offered a concession in 1892 for the production and supply of electricity to the population of the capital. The concession was granted to two companies for a period of 45 years: the Hungarian Electricity Joint Stock Company and the Budapest General Electricity Joint Stock Company.
The Budapest General Electricity Joint Stock Company was responsible for the production of alternating current and direct current electricity. Under its contract with the capital, however, it was entitled to sell only direct current electricity. The contract also gave the capital the right to build its own electricity generation plants and provided that after 45 years the plants of the two companies would become the property of Budapest free of charge.
The company set up its electric power plant on the area bounded by Berzenczey Street (today's Hegedűs Gyula Street), Tutaj, Visegrádi and Bessenyei Streets. The two-phase generators installed produced alternating current, which could be converted into direct current using the technical advances of the time: the alternating current produced at the company's central plant was converted into direct current at four stations using rotary transformers. In the years of the First World War, the latter were already supplying electricity to Kazinczy, Murányi, Horn Ede, Liliom and Logody streets.
At that time, street lighting was owned by the monopoly gas companies, so electricity was initially provided for private purposes. In 1909, the Municipal Assembly gave the company permission to install 38 arc lamps on Rákóczi Street as a trial. After a successful experiment, the General Assembly gave permission for the extension, so that the company could also install arc lights on the boulevards and main streets. At the turn of the century, the demand for electricity became more and more important. The significant development in the first decade after the turn of the century is shown by the fact that the length of the cable laid by the joint-stock company increased more than twenty-fold in a decade and a half. The almost linear increase in length became significant in the years 1909-1910, certainly thanks to the authorisations granted by the capital.
As electricity generation and demand for electricity increased, the need arose to bring electricity supply under public management, as with other public services. As early as the 1910s, Budapest's management was working to replace the Hungarian Electricity Joint Stock Company, which operated alongside the Budapest General Electricity Joint Stock Company, as a private company. The aim was linked to the fact that the operation of the joint stock company was highly profitable, as evidenced by the change in the company's share price in the first decade of the 20th century.
To this end, the capital has set up a Budapest-owned power generation plant. In August 1912, this led to the construction of the Kelenföld Power Generation Plant, which began supplying electricity in 1914. By creating a competitor, the capital managed to drive down prices, which directly contributed to the liquidation of the two private companies. In 1914, the Hungarian Electricity Joint-Stock Company and, in 1918, the Budapest General Electricity Joint-Stock Company were redeemed, which essentially meant that the capital took over the management of the company.
As a result, the joint-stock company had been in liquidation since 1 January 1921. The liquidation was completed in 1924.
Interestingly, the former headquarters of the joint-stock company at 21 Kazinczy Street is now a museum of electrical engineering, commemorating the company's operation.
Sources
János Bertalan:The first century of electric lighting. Budapest, 1978. XVI(6), 30-32.
Lilly Kozma: The first 25 years of Budapest's electricity service. The first 25 years of Budapest's first electricity supply in Budapest. July 1968. 5-6.
Hungarian Financial Compass 1917-1924.
Great Hungarian Compass 1893-1916.
The Big Dictionary of Révai, Volume 4. Brutus-Csát (1912). Budapest, 1990. 72.
Press material 1893-1924.
Founded in 1892
Date of cessation: 1924
Founders: the General Austrian-Hungarian Air Spirits Association
Securities issued:
| Budapest general electricity ltd |
Decisive leaders:
1896-1906 | Count Géza Teleki |
1907-1914 | Széll Kálmán |
1915-1922 | István Fodor |
Main activity: generation and transmission of electricity
Main products are not set
Seats:
1894-1914 | Budapest VII. Kazinczy utca 21. |
Locations are not set
Main milestones are not set
Author: Róbert Szabó
Founded in 1892
Founders: the General Austrian-Hungarian Air Spirits Association
Decisive leaders:
1896-1906 | Count Géza Teleki |
1907-1914 | Széll Kálmán |
1915-1922 | István Fodor |
Main activity: generation and transmission of electricity
Main products are not set
Seats:
1894-1914 | Budapest VII. Kazinczy utca 21. |
Locations are not set
Main milestones are not set
Author: Róbert Szabó
Budapest general electricity ltd
The Budapest General Electricity Joint Stock Company was founded in 1892 with a share capital of 3 million crowns. Under the terms of an agreement with the capital, the company produced alternating current and direct current electricity, but could only sell direct current electricity on the market. During Teleki's presidency, the company achieved considerable success, increasing the length of the electricity transmission lines by a factor of 50 in about 15 years. In the early 1910s, the company came increasingly under the control of the capital's public utility company, which, by creating competition in the market, forced the company into permanent liquidation in 1921/1922.
Long description
The first electric lighting in Hungary dates back to 1878, when the iron foundry of Ganz and Company and Ganz Street were lit by electricity for the first time. However, it was not until 1893 that public lighting began to be used in the capital: the reason for this was that in 1879 the capital city of Budapest signed a contract with the Allgemeine Österreichische Gasgesellschaft, which was the only company to win a concession for the provision of electric lighting. This contract was only cancelled in 1891, which also gave the capital back the right to establish its own supervision of the city's electricity supply through contractors. By the 1890s, the solution to this problem had become a matter of real urgency, given the significant increase in demand for electricity.
The Budapest General Electricity Joint Stock Company was established after the capital city of Budapest offered a concession in 1892 for the production and supply of electricity to the population of the capital. The concession was granted to two companies for a period of 45 years: the Hungarian Electricity Joint Stock Company and the Budapest General Electricity Joint Stock Company.
The Budapest General Electricity Joint Stock Company was responsible for the production of alternating current and direct current electricity. Under its contract with the capital, however, it was entitled to sell only direct current electricity. The contract also gave the capital the right to build its own electricity generation plants and provided that after 45 years the plants of the two companies would become the property of Budapest free of charge.
The company set up its electric power plant on the area bounded by Berzenczey Street (today's Hegedűs Gyula Street), Tutaj, Visegrádi and Bessenyei Streets. The two-phase generators installed produced alternating current, which could be converted into direct current using the technical advances of the time: the alternating current produced at the company's central plant was converted into direct current at four stations using rotary transformers. In the years of the First World War, the latter were already supplying electricity to Kazinczy, Murányi, Horn Ede, Liliom and Logody streets.
At that time, street lighting was owned by the monopoly gas companies, so electricity was initially provided for private purposes. In 1909, the Municipal Assembly gave the company permission to install 38 arc lamps on Rákóczi Street as a trial. After a successful experiment, the General Assembly gave permission for the extension, so that the company could also install arc lights on the boulevards and main streets. At the turn of the century, the demand for electricity became more and more important. The significant development in the first decade after the turn of the century is shown by the fact that the length of the cable laid by the joint-stock company increased more than twenty-fold in a decade and a half. The almost linear increase in length became significant in the years 1909-1910, certainly thanks to the authorisations granted by the capital.
As electricity generation and demand for electricity increased, the need arose to bring electricity supply under public management, as with other public services. As early as the 1910s, Budapest's management was working to replace the Hungarian Electricity Joint Stock Company, which operated alongside the Budapest General Electricity Joint Stock Company, as a private company. The aim was linked to the fact that the operation of the joint stock company was highly profitable, as evidenced by the change in the company's share price in the first decade of the 20th century.
To this end, the capital has set up a Budapest-owned power generation plant. In August 1912, this led to the construction of the Kelenföld Power Generation Plant, which began supplying electricity in 1914. By creating a competitor, the capital managed to drive down prices, which directly contributed to the liquidation of the two private companies. In 1914, the Hungarian Electricity Joint-Stock Company and, in 1918, the Budapest General Electricity Joint-Stock Company were redeemed, which essentially meant that the capital took over the management of the company.
As a result, the joint-stock company had been in liquidation since 1 January 1921. The liquidation was completed in 1924.
Interestingly, the former headquarters of the joint-stock company at 21 Kazinczy Street is now a museum of electrical engineering, commemorating the company's operation.
Sources
János Bertalan:The first century of electric lighting. Budapest, 1978. XVI(6), 30-32.
Lilly Kozma: The first 25 years of Budapest's electricity service. The first 25 years of Budapest's first electricity supply in Budapest. July 1968. 5-6.
Hungarian Financial Compass 1917-1924.
Great Hungarian Compass 1893-1916.
The Big Dictionary of Révai, Volume 4. Brutus-Csát (1912). Budapest, 1990. 72.
Press material 1893-1924.