The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1900-03-08

The following communication con-
cerning the Delaware Valley and
Kingston railway has been addressed
to the editor Of the Newburgh IN. W
Journal by w. v. s. Thorne, vice -prcsi-
dent Of the Pennsylvania Coal COM
pany:
In your issue of February 26 an ar
ticle appeared, stating that petitions
were being circulated at Newburgh and
IN Its vicinity, asking the New York
| railroad commissioners to refuse a Ger.
tincate allowing the construction of the
proposed Delaware Valley and Kings
ton railway, over the old Delaware and
Hudson canal. for the reason that If
such line were built, the Pennsylva-
MIA Coal company might not send it's
coal to Newburgh. and might discOn-
tinue the use of its docks there.
The following statement should make
clear to the people of Newburgh what
this question really means to them, and
the true position of the Erie Railroad
company and Of the Pennsylvania Coal
| company.
The Pennsylvania Coal company has
a contract with the Erie Railroad COM
pany. extending until 1910, under which
the Erie agrees to give to the Pennsyl-
vania company rates of transportation
| as low as those which may be given to
! competitive points by any railroad COM
pany on coal transported under sub
stantially similar circumstances. If the
Erie company fulfils this condition. the
Pennsylvania Coal company has no eX-
pectation or desire to divert from the
Erie railroad or from Newburgh any Of
the east-bOund coal which 1t now sends
in that direction. In other words, II
the Pennsylvania Coal company can
get it's coal direct to Newburgh over
the Erie, as cheaply as 1t can take 1t
up to Kingston over the proposed road
and then bring it back to Newburgh, it
will send as much coal to Newburgh as
| 1t does now. if not more. If the Erie
will not give such rates, then the citi-
| zens of Newburgh will obtain their coal
| at lower prices than they now do. In
either event, they will be greatly bene-
| fitted.
ABSENCE OF COMPETITION.
But. in the absence Of competition,
the Erie Railroad company is now able
| to charge exorbitant rates Of freight
| on anthracite coal east-bound being at
| least fifty per cent. higher per ton per
| mile than the average rate per ton per
| mile charged upon all other kinds of
| freight, Notwithstanding the fact that
| coal is generally considered to be a low
| class freight, and is delivered to the
| railways in large volume.
In the absence of any effective COM
petition. it can easily be seen that these
high rates Of freight can be maintained,
| and that, under them. the amount OF
| coal coming to and handled at New
burgh is much less than it would be II
| the rates We're reduced. No such re-
duction is possible however until more
| effective competition is provided.
Now an opportunity Is offered for the
| construction of the Delaware Valley
and Kingston railway. on an easy
grade and by short route from Penn
| sylvania to Kingston. connecting with
the Erie and Wyoming railroad. which
| taps the heart of the anthracite coal
| region: and these companies are will
ing to guarantee rates of freight upon
coal much lower than those now paid,
and to carry to market a large ton
mage, in excess of what the mines are
| allowed to produce at present.
Last year the mines in the anthracite
region We're worked little more than
half time: and this was due largely to
the high rates Of freight and to the re-
| fusal by certain railway companies to
furnish the necessary cars for the
transportation Of coal, fearing to break
the market price.
If the Delaware and Kingston rail-
way is built, the additional coal which
could be. but is not now mined would
alone suffice to supply it with ample
business. which it could afford to carry
and would carry at low rates. If the
Erie company accepted. as it. must ac-
cept. the inevitable result Of this COM
| petition, it would so reduce the rates
of transportation to Ncwburgh that
the Pennsylvania Coal company would
have no motive whatever for abandon
y1S,, ~1% 1St1
| the cost of delivering coal at the Hud-
son river would be greatly reduced
not merely by the reduction in rates o
freight but also by the diminished cost
of production at the mines, which
would follow from their being more
steadily worked. Thus the producers
of coal could afford to sell it at a lower
price than is now paid, and still coult
make more money than at present.
LOWER PRICES OF COAL.
What lower prices of coal would
mean to the people and business inter
ests of Newburgh, and all other citie:
along the Hudson river. including New
York city, 1t is hardly necessary to ex,
plain. The fact also that since the
abandonment of the canal by the Della
ware and Hudson company,many smal
towns, formerly prosperous, are now
suffering severely for lack Of proper
transportation facilities. and that mucl
business which does not now exis,
might be developed within the state BY
the construction Of the Delaware Val
ley and Kingston railway should have
the effect of stimulating the resident.
Of Orange county to do all in theil
power to assist. rather than oppose. a,
enterprise Of such great and public
benefit.
The adverse petitions assume tina
the proposed road is something entire
ly new; but. as all readers Of the Jour