The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-01-07
Attorney for Utilities Commits
sion Takes Action.
He Gets Into the Fight to Reg
uIate Price of Gas.
FILES SUIT WITH COMMISSION
Wants Physical Valuation
Property and All Details
Concerning Cost and Expense
Proposes Scale of Prices.

Suit against the Kansas Natural Gas
company its receivers, its distributing
agencies and public officials OF al
Kansas cities in which the Kansas
Natural does business, was filed TINS
afternoon with the public utlltles
commission by John Marshall as at
torney for the commission, in an Ell
fort to regulate the control the rates
for and supply of natural gas and to
investigate the affairs of the gas COM
pany and its present holdings, equip
ment and investment. This action Will
be followed in a few days by an action
by Marshall to intervene on behalf of
the state of Kansas in the action now
pending before Judge Pollock in the
federal court.
Attached to the petition for an in
vestigation of the affairs of the Kan
SaS Natural is copy OF Judge FOL
locks recent order granting the re-
quest of the gas company receivers for
a raise in the present rate schedule. In
affected towns where the rates for gas
by distributing companies cannot be
fixed by the utilities commission, Mar
shall suggests that the city officials
Immediately enact a new ordinance
governing and regulating the price of
gas that they may prevent any cutting
of the present supply by abrogation
of the present existing contracts, ordi-
nances and agreements. Companies
over which the utilities commission
have control are the Kansas Natural,
the American Gas company, Consum-
Wyandotte County Gas company,
Union Gas & Traction company and
the Kansas & Electric company, all of
which are public utilities under the
supervision of the state board.
In the towns in which none of
these distributing agencies operate,
franchise contracts exist between the
city and the company selling and dis
tributing natural gas and rates for the
sale of natural gas are fixed under the
laws of the state and in most of these
cities the rates so fixed and paid by
the consumer of gas to the distributing
company are lower than the rates to
be paid by the distributing company
under Judge Pollock's order.
So, it is quite natural, that the dis
tributing companies will refuse to pay
a higher rate for the gas they purchase
than they are allowed to charge for
the product within the limits of the
town in which they hold a franchise.
That would mean that the distributing
companies in number of towns would
step out of business the day Judge
Pollock's order became effective and
that no gas would be furnished the
Individual consumers. In substance,
that is one of the really serious diff
culties which Marshall's. suit seeks to
regulate. 1t is to bring together under
an order of the commission the various
companies and cities into an agreement
concerning the price of gas, that price
to be determined by members of the
commission upon facts determine from
an investigation of the Kansas Natural
Gas company's business affairs.
1t is further pointed out by Marshall
in his petition to the commission that
the supply of gas in the Kansas-Okla-
homa field is rapidly diminishing. For
this reason he urges the establishment
of new rates which will regulate the
Kansas Natural and all of its distribut-
ing agencies under the jurisdiction of
the commission. On a basis of rate
fixed by the commission, Kansas
towns. affected by local franchise
might make similar regulations and
the gas troubles in this state eliminated
to a great extent.
Marshall recommends that n higher
rate be charged monthly consumers of
more than 10000 cubic feet and a still
higher rate made affecting consumers
of 10000 cubic feet or more. This rate
Marshall believes, will conserve the
present gas supply for domestic cook
ing and lighting purposes and perpet-
for several years.
There is not the least bit of uncer-
tainty as to the things Marshall de-
sires the commission to do. He asks
for an order calling for an immediate
investigation of the cost of delivering
gas by the receivers of the Kansas
Natural company to the several dis |
about the receipts for natural gas sold
by the receivers, to know the amount
of the receipts received by distributing
companies, to ascertain the relations |
existing between the two companies. |
to determine the amount or per cent !
of gas lost in transmission, to asecr- |