Savannah morning news. [volume] (Savannah) 1868-1887, 1885-02-28
RENEWING THEGAS WAR.
A REDUCTION IN PRICE TO so
CENTS PER 1000 FEET.

The New Company Meets the Old Com
pany,s Cut-The Outlook for Further |
Reduction-A Possible Drop to 20 |
Cents per 1,OOO-HOw the People are |
Benefited by the Ffght-LoOking for a |
Compromise.
There have been few developments In |
the gas war during the past four months, |
since the reduction from 81 80 to 81 per
1000 feet by the Savannah Gas Light
Company on Nov. was met by the Mu-
tual Company. The price has remained
where the November reduction placed it
at, 81 per 1000 feet, and consumers have
considered that they were getting their
gas at very low figure in comparison
with what they were compelled to pay
before the Mutual Company was organ
lied. The directors OF the old company
met yesterday and ordered still further
cut to IS cents per 1000 feet, with us
count Of 331< per cent. on all bills paid IN
10 davs As soon as the reduction was
announced President Blum, OF the
Mutual Company, called meeting OF
the directory and met the cut with drop
to so cents per ]. 600 net. This places the
Drice of gas in Savannah as low as has
ever been reached anywhere in the cOuc-
fry. the competition in Baltimore year
ago making a cut to that price and then
effecting a consolidation. Whether the
price will go up or Will be
still further reduced depends en-
tirely on future developments. The
impression has prevailed all along that
determined war was imminent, and the
probabilities are that the price will 20
lower.
When the Mutual Gas Light Company
was organized the old company was sell
ing gas for 50 80 per 1000 feet. A prOpo-
sitiOn was made bv the Mutual Company
TO take their plant and guarantee them
6 per cent. on their 100000 OF stock.
This was refused. The company
then went to work and built works of its
own and pledged itself 70 furnish gas for
81 50 per thousand feet. The old company
was thus forced to reduce its price until
it reached 81, and now
30 CENTS PER THOUSAND.
A NEWS reporter called upon Presi-
dent Green yesterday. after the reduction
had been announced, with the inquiry
whether the cut meant a fight, and
whether there was any PROBABILITY of
further reduction in event the new COM
panv met that which the old coz pIny had
announced. Mr.. Green reph that he
was unprepared to say what curse the
company would pursue. u aad an
nounced at the outset, three " IS Gro, that
it would supply gas as cheap 81 other
company in the city. Whether there
would be any further reduction immedi-
ately il was impossible for him TO say,
as the company had taken no steps
further than to authorize the reduction
which il had just announced. In carry
ing out ITS pledge to its patrons It would
OF course. meet any reduction that might
be made by the new company, If II went
70 - cents per thousand. The ar
rangement, he said might continue dur
ing the summer and might not. 1t would
depend entirely upon what course the
new company pursued.
President Blum was found in his office
and said he had not been advised OF any
cut and was not aware that any had been
made. but whatever move was cOntem-
plated by the old company the new COM
pany was prepared TO meet it.
MEETING THE REDUCTION.
As soon as he learned that the cut had
been authorized, the directors Of the new
company were called together and
promptly ordered reduction 10 30 cents
per thousand. net. 10 20 into effect to-
morrow. This is a better rate than that
offered by the old company, which is 20
cents. with a S3l per cent. discount upon
teu-day bills.
/. DO YOU anticipate any further redIc-
ton Immediately 2" was asked Capt. Blum
after the directory had met.
Il am unprepared TO say, Of course,
what the next move Will be, = was the re-
ply. 'but whatever II is, we will supply
.as As cheap as any company in Sayan-
ma. and we do not propose to be driven
out of the field"
Secretary Thompson, who was instru-
mental in organizing the company, said
il had come 10 savannah to stay, and
its officers were perfectly satisfied
with the situation. A proposition was
made TO the old company at the outset. be-
fore any move was made towards estab-
lisbing works. and it had been rejected.
1t now remained for the old company to
say what il was willing to do if 1t desires
90 effect any compromise. Mr.. Green
said in regard to the PROPOSE
tion that the reason II was
not accepted was because the new COM
nany failed u put up security as evil
tlence Of good faith which was SatiSiac-
tory to the Savannah Gas Light Company.
II any proposition was made which was
satisfactory. he was frank TO say that the
company would acceptit.
THE PEOPLE GET THE BENEFIT.
As the matter now stands the advan-
tage Of the reduction is with the c0nsum-
ers. The companies both say that there
is a heavy loss in gas at the price at
which il Is now offered. So long as the
price is kept down, however, the public
is satisfied TO let the companies fight 1t
out As they Will. Il is claimed that the
aanGdi saving or the amount OF the re
ductiOn each year TO consumers in the
citv since the new company was organ
IZad is over 100000. This IS certainly a
substantial benefit 10 the people.
There were various rumOrs last night as
10 the probable course 10 be pursued in
the fsht. and new developments are
looked for in a day or two at the furthest.
Ii is limited that compromise will be en-
tered into. but whether in the way of
consolidation or an agreement is not
stated. 1t has been rumored that
the new company was Will
ing to enter into compromise
for the purpose o. making an advance TO
81 80 per thousand, with guarantee that
the price should not exceed that amount.
This would still be under its Origlna,
pledged price. THIS rumOr has not how
ever. been authenticated. 1t is likely that
the present cut viii result in the APP
pOintment OF a conference between the
two companies, with view TO some sat
s.~F. rtNnaH