Los Angeles herald., 1910-05-20
CITY CAS- RATE TO
STAY At 30 CENTS
Public Utilities Board Announces
Conclusion in Report
to Council
ONE INCREASE is ALLOWED
Recommends Charge of $1.35 in
San Pedro, Wilmington
and Terminal Island
ONE INCREASE IS ALLOWED

Gas is to stay at 80 cents 1000 feet.
This is the conclusion reached by the
board of public utilities and incor-
ported in a report made by the boaro
to the council last night. The only eX-
ception to this rate is at San Pedro,
wilmington and Terminal Island, Wnere
different conditionse prevail and Where
the board recommends that charge OF
$1.35 per 1000 feet be made.
The board finds four gas companies
supplying this commodity In dllIerent
parts of the city-the California Edison
company, which operates the plant that
supplies San Pedro and Wilmington;
the Economic, the Domestic and the
Los Angeles Gas and Electric corpora
ton.
In arriving at its conclusions the
board used the services of its own en-
gneer, T. b. Comstock, and called INTO
consultation Roderick MacKay and Z.
w. Monier, gas experts. In reporting
on these four companies the utilities
board says:
"a very small plant at San Pedro has
n present output of such limited
amount as to preclude the possibility
of earning fair returns upon the neces-
sary investment at the rate of 80 cents
per 1000 cubic feet now established for
the main city Even If the larger COM
panies extended mains to this part OF
the city the time required for such new
construction will make 1t necessary to
continue higher rates for the ensuing
year.
REQUESTS ADVANCE
"The company requests an advance
in the rate from $1.35 to $3.50 per 1000
cubic feet. After full consideration, in
view of all conditions, we are unable to
find justification for immediate reduc-
ton of the rate. At the same time,
with the prospect of growth or business
due attention to the facts will not, In
our opinion, warrant any increase. We
therefore recommend that the San
Pedro rate for gas remain for the year
beginning July l, 1910, at $l.35 per lOOO
cub C feet.
"Although this company supplies but
a moderate amount of gas, and Its busi-
ness affairs are presented in a loose
manner, there is a suggestion In It's
statements that it's costs of manufact-
ture are low, as compared with others
working upon an equivalent scale. But
1t will be necessary to examine further
into this question which could not,
under present conditions. have impor-
tant effect upon rate making for the
ensuing fiscal year. =
'NThis company, although working on
n, comparatively small scale heretofore,
makes reports which tally closely with
the estimates of our engineers. Their
apparent costs of manufacture are
made to appear less than those reported
by the largest company, which, it would
seem. should be able to manufacture
more cheaply. There is nothing In the
relations of the Domestic Gas company
to the public which call for differentia-
tion as to rates.
VALUATIONS LESS
a,d itfaa Of on cinaarS
have presented valuations OF the plant
of the Los Angeles Gas and Electric
corporation, which makes a total diff
ference of s., ,23S, ,233.35, or about 25 per
cent less than stated valuations of the
same items by the corporation. A COM
paratively small portion of this diff
ference occurs in total of services and