New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-08-23
Most of Bituminous Used
in City Is Contracted for
Three Years Ahead
May Lower Anthracite
Dealers Believe Wilson's De-
cree Will Drive House
Fuel Cost Down

The plain citizen or THIS city IaIleu
to get excited yesterday over the an
nouncement that President Wilson had
fixed the price of bituminous coal-not
that soft coal is unimportant, but be-
cause bituminous plays little part IN
the domestic life Of people in this sec
ton. Despite that fact, it was pointed
out by dealers, one-third Of all the
coal consumed in New York City is BIZ
luminous.
However, only large industrial plants,
such as the Interborough Company, the
electric light companies and oil and
sugar refining plants, burn soft COAL
and most of them are well taken care
Of by contracts which are usually made
from one to three years in advance
So it was pointed out by the trade
that the only ones likely to be affected
by the fixing of prices in Washington
would be the smaller plants which
failed to contract for next years sup
ply last April, when such agreements
=
are usually made.
With the price Of bituminous coal
fixed at 50 at the mine, and with prices
last April ranging from So to S., those
familiar with the coal trade In TINS
city predicted that the tendency OF me
coal operators would be to leave me
concerns without contracts In the lurch.
Unless the President goes a step fur
Their, according to a prevailing opinion
and either takes over the coal mines
or their total output, and distributes
coal throughout the country, there Will
be an extremely irregular distribution,
with the regular customers who have
contracted to pay from So to So great
ly favored all around.
May Lower Hard Coal Cost.
The small consumers in this city,
the apartment house or tenement mouse
owners, and the dwellers in private
houses, use anthracite coal almost ex-
clusively, and are, therefore, not con-
cerned with the vicissitudes OF the
soft coal industry. The indications
are that hard coal at retail will sell
as low as So next winter under the
in direct control of the Federal Trade
Commission. Many anthracite coal
dealers In New York do not think the
President will fix prices of hard coal,
although some hold the contrary view.
"Bituminous coal Dealers" accord
ing to +. W. Seward, editor of the Goal
Trade Journal "are completely up in
the air regarding the new situation. II
the factory owner who has not con-
tracted in advance for coal is to be
protected, it would seem that the Gov
eminent would have to act in his be-
ha,f. There is a conflict in the Food
control bill, which gives the President
rover to regulate the coal industry, so
it is difficult to foretell what will hap
zen.
Price fixing practically puts the mid
dleman out of business, for the margin
of profit will be too small to permit
him TO take a share. With the price
fixed by the President at 81 at the
mine, bituminous coal will probably be
worth $3.50 at the unloading port and
$3.50 at its final destination. Until two
wears ago bituminous coal was worth
between 81 and S150 at the mine. The
rise in price is due chiefly to the
tremendous increase in demand for coal
since the war business started, and also
to the lack of freight cars to deliver
coal.
Means Little Difference Here
LAST year about 100000 900 tons Of
bituminous coal were mined, and this
year the output will probably be larger.
But about 90 per cent of this is sold
far in advance by contracts, and only
10 per cent at the most Will be avail
able to the buyer in the open market.
That means that the majority OF Dl-
luminous coal buyers will continue TO
use coal at the higher rate for which
they contracted, and the coal dealers
won't be hit by the new low prices very
much for about year. The consensus
of opinion among the operators seems
to be that there will be an extremely
small profit in 50 coal. II this is true, !
the mining of Goa will be discouraged
by the fixing of prices, when the crying /
need is for stimulation of the produc- /
ton to meet the unprecentedly enor- ,
nous demands" !
FLOYD w. Parson, editor OF Goal /
Age" expressed the belief that the /
President would appoint an admins.
traitor soon to fix the prices of hard .
coal. at is likely" he said, that
anthracite coal will be regulated just
as bituminous and hard coal admin
strator be appointed. The Federal
Trade Commission has already stated,
however, that the price received for
anthracite coal at the mines is fair, and
it is certain that there will be little re-
duction in this quarter"
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