Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-04-19
GEORGE RICE ON TOP.
The Interstate Commerce Commis-
sion Decides in His Favor.
IMPORTANT TO OIL PRODUCERS.
Several Decided Changes in the Situation
at Mcdonald.
STIRLING WELL IN ADVANCE IS DRY

WASHINGTON, April 18-The Inter-
| State Commerce Commission to-day, in an
| opinion by Commissioner Knapp, an
| nounced its decision in the cases of George
| Rice against the Louisville and Nashville
Railroad Company and against the Cincin-
! natl, Washington and Baltimore Railroad
Company and others, forming two different
routes to the Pacific coast from complain
ants refinery at Marietta, o. The decision
is in favor of complainant.
The cases involve questions of unreasona-
BILE rates on petroleum to the Pacific Goa st
from points on the Louisville and Nash
vile lines; also of unlawful discrimination
in favor of shippers of petroleum by the
tank car method as against complainant and
others who ship that commodity in barrels.
The important questions now decided, and
others which are held for further investiga-
tion and inquiry, are briefly as follows:
In assuming, for transportation purposes,
that barrel of refined petroleum oil weighs
400 pounds, and that q gallon of that COM
modify weighs 63 pounds, when shipped in
tanks, defendants use constructive or hv-
pothetical weights so much out of proper
tion to actual weights that positive and
measurable preference is constantly granted
to the shipper by the tank method; and so
far as that practice enables the tank ship
per to secure the carriage Of more pounds Of
freight for the same money than the ship
pers in barrels, it subjects the latter TO un-
lawful prejudice
No Objection to Estimated Weights.
When. actual weights cannot be ascer-
tanned without needless Inconvenience,
Al. = IL 81 %ho aE
estimated or constructive weights, provided
the method of estimation works no in
equality in its practical application to
connecting modes of conveyance.
The practice of allowing the tank shipper
an arbitrary reduction of AZ gallons per
tank car is wholly indefensible. Losses
from leakage and evaporation are not less,
proportionally, when the shipment is made
in barrels, and no circumstance is discov-
cred, or reason advanced, which justifes
concession of that nature to the shipper
no corresponding allowance is made to Il
rival shipper using the means of transporta-
tion provided by the carrier.
The charges of the Louisville and Nash
vile Road for the transportation of petrol
cum to several points on its lines are not
only apparently unreasonable in themselves,
but the existing disparity in rates to neigh
boring localities creates presumption of
extorton in exacting the higher charges;
moreover, as between tank and barrel ship
ments of petroleum, this adjustment of rates
operates to the general advantage of the for
mer mode of conveyance.
Water Competition Possible Justifoatior.
Water competion to various points en- its
lines may furnish Justification for rates TO
inland points somewhat higher
than the railroad must accept to participate
in business to the more remote locality fav- |
ored with water carriage, but where charges |
for shorter distance on these lines are |
three times those for the longer the disparity |
is absurd and inexcusable. The lower figure |
must be unrenunerative or the higher must |
be extortionate.
This defendant is ordered to revise and |
correct its charges on petroleum to many |
interior and local points on its lines, and
make such reductions and notifications |
therein rs will remove the gross dispropor- |
tions and inequalities now found to exist.
The case against the Louisville and NASH |
vile Railroad Company is retG med for fur |
ther evidence and argument on the question |
whether water competition at various |
points justifies departure from the general |
requirement. of the fourth section and for |
such further Investigation of its charges to |
in ntermediate and non-competitive points, |
and direction in relation thereto, as may ap- |
pear to be required.
The cases against the other defend.
ants are reopened for further evidence and |
in regard to the reasonRbleness Of |
rates on petroleum products to the Pacific
coast from points east OF the ninety-seventh
All the cases are held open for
additional evidence and argument on the
question of the free carriage of barrels in
the transportation of petroleum oil, also
for such further direction to the carriers as
may appear necessary in regard to the ex-
tent that weights now assumed should be
made relatively more favorable to the ship
Der in barrels.