Pine Bluff daily graphic. (Pine Bluff, Ark.) 1893-1942, 1916-06-29

here, Mayor Simon Bloom and Secre-
tary E. B. Bloom of the chamber OF
commerce The conference was held
at the office OF Danaher & Danaher
following which lengthy statement
was issued by the company, explain
ing its action in increasing the rates
Although the new schedule makes
no change in the rate to the consum'
er who uses less than 5000 cubic feet
of gas per month, the new schedule
will virtually affect all consumers OF
gas in Pine Bluff, because there are
very few homes in Pine Bluff, COM
paratively speaking, which do not con-
sumo more than 5000 cubic feet OF
gas a month, especially during the
winter months. The amount Of in
crease in each of such cases will be
small, but the aggregate will be a
considerable amount.
Franchise Permits 80 Cents.
That the company is within the
terms of it's franchise in making this
increase in rates, was stated yester-
day in response to inquiries, by City
Clerk W. A. Lee Under its fran
chise, the company can make rates
ranging from SO cents per 1000 cubic
feet, down to its lowest rates for
the largest consumers. The maxi
mum rate for natural gas has always
been 40 cents per 1000 cubic feet,
and this is not changed under the
new schedule. The increase in rates
commences only when more than s.
coo cubic feet of gas have been con-
sumed.
Mr.. Munce's Statement.
The statement issued after yester-
days conference contains the follow
ing explanation by General Manager
Munce:
"The new schedule makes no
sumner who uses 5000 cubic feet or
less per month, the price remaining
at 40 cents per 1000, as formerly"
said Mr.. Munce From 5000 to 49,
OGO cubic feet the increase is 1C
cents per 1000, and from 10000 to
10000 cubic feet cents per 1000. On
the next $4,000 cubic feet the price
remains as the old schedule, 80 cents
per 1000. The maximum increase,
therefore, that will be paid by con-
sumers using over 10000 and less
than 100000 cubic feet is one dollar
per month From 100000 to 100000
cubic feet, the industrial rate is re-
duced from % to 20 cents, and for
all over 100000 cubic feet, the new
price is 10 cents to replace the old
schedule of varying from 20 cents
down to 10 cents. Approximately
one-half of all the users of gas in
Pine Bluff average less than 5000
cubic feet per month.
1.-THE oompany's franchise would
permit a rate as high as so cents per
900 cubic feet The new rates are
much less than that figure. This
schedule is to go into effect July /
in all the towns and cities supplied
by the Arkansas Natural Gas COM
pany. The added revenue is absolute
ly necessary and the rates have been
SO adjusted as to relieve the small
consumer of any increase and distri
butte the charge much more equitably
than heretofore"
"The raise announced by the gas
company" Mr.. Munce said, sis neces-
sary because of increased cost of pro-
duction, the extension of pipe lines
and other expense that has kept the
company from making any net earn
ings. The company lost heavily last
year in the Red river flood by having
to rebuild lines across the river and
by losing the sale of gas for several
weeks while the pipe line was cut
off,
THE question had come to be one
of poor service or slightly increased
rates, and we are choosing the lat
ter"