Evening star., 1917-06-03
WHAT THE GOVERNMENT IS DOING

Is DOING
experts of the survey say that one of
the most important problems confront
ing the gas-producing industry is that
wells capable of removing most eco
nomically all the gas under given
tract OF land. So many complex factors
enter into this problem. they say, that
made to solve it. and gas operators
have in general been content to accept
rough estimates Of the number Of
wells that should be drilled per unit of
only one well should be drilled to each
500 acres: in others it Is customary to
drill well in each twenty or forty
acres. With the present knowledge the
number to be drilled, say these experts:
must be to some extent matter OF
opinion. and it is very doubtful whether
any limit can be fixed that will be ap-
plicable to all fields.
1t is pointed out by the investigators
Of the survey that those who are
familiar with the gas industry have
long realized that closely drilled
field Is short lived, and that in most
pools the later wells are less likely to
be profitable than the earlier ones. Few
operators. however, they say, have at
tempted to analyze the reasons for
these conditions. and most of the busi-
ness men and others who are OCCASION
ally induced to take a flyer" in gas
existence of them. Therefore, in many
eastern gas fields there are more wells
than are necessary or profitable, and In
some fields the wells are crowded so
closely that many of them have never
produced enough gas to pay for them
selves.
Among the many other duties and
activities of the interstate commerce
commission Is that OF
Shins and regulating the question
po;1ro,a, as to whether or not
1sa1AioauS. ships owned by the va
rious railroads of the country can be
held by those roads under the Panama
canal act.
The amendments to the act to resu-
late commerce, under which the com
mission works, which were erected by
the passage OF the Panama canal act
prohibit a railroad company or other
common carrier subject to the act from
owning. leasing. operating. controlling
or having any interest. directly or in
directly, in any common carrier by
water, or any vessel carrying freight
or passengers with which said rail-
road or other carrier does or may COM
pete for traffic.
Congress provided that II the COM
mission shall be of the opinion that
through the Panama canal, Is operated
in the interest of the public. and is of
advantage to the convenience and COM
merce Of the people. and that con-
tinuance thereof will neither exclude,
prevent or reduce competition on the
route by water. it may. by order. ex-
tend the time during which such serv-
ice by water may continue to be oper-
ated.
In interpreting these provisions off,
cials Of the commission have held that
the possibility of competition referred
to is not a vague. indefinite. or re-
motely possible competition, but some
thing real and substantial. The off,
tition or possible competition was re-
mote. improbable or negligible. and
where the service was being operated
In the interest Of the public. and was
Of advantage to the convenience and
commerce Of the people. and a continu-
ance thereof would neither exclude,
prevent nor reduce competition on the
route by water, that they should per-
NIT such continuance. On the other
hand, they have felt that where the
competition is real and substantial, and
it is not clearly shown that con-
tinuance of the service will neither
exclude, prevent nor reduce competi-
tion on the route by water. that they
against such continued common owner
ship, control or operation.
Cases of this kind, the experts of the
commission say. have come forward and
are now pending in which tho competi-
ton is real, substantial and not denied,
but in which there is abundant testi-
mony on behalf of shippers and ship
ping interests generally in the territory
served. frequently not contradicted in
any degree, to the effect that the service
is in the interest of the public and of
advantage to the convenience and COM
merce of the people, and that discon-
tinuance thereof would be substantially
Injurious to them and to their localities
instead of working any public benefit.
For example. One of the large rail-
roads indirectly owns and operates GER
tain steamship lines plying upon Chesa-
peake bay and tributary rivers on the
EASTERN shore of the bay. These boats
compete for traffic at various points with
railroads which are also owned or con-
trolled by the same large railroad. After
a full hearing experts Of the commits
sion decided that continued operation of
these boats under the ownership of the
large railroad would be in violation of
the act and denied its application. When,
pursuant to the order of the commits
sion. notice was given of discontinue
ance Of the water service, shippers gem
orally who had been and We're being
served by the water lines including
some of the original opponents of the
application for permission to continue
ownership and operation. petitioned for
a rehearing and strongly urged that a
continuance of the common ownership
control and operation be permitted for
another year at least. In this connec-
tion it was asserted that there was no
one prepared to take over and operate
the boats, no prospect of any service be-
ing furnished in lieu of that which had
been and was being performed by the
owned boats, and that the dis
and operation would seriously injure the
individuals and firms which
had patronfZed and to a large extent de-
pended upon the boat-line transportation
* x
That cattle in most cases add to the
farm income in the corn belt is indi-
Gated by the results
Cattle Add to of recent investi-
cation conducted by
partment of Agriculture as part of a
comprehensive study of the meat sit
uation in which its specialists have
been engaged for some time. The re-
suits have shown that the direct profit
from the raising of calves in this sec
tion, the averages seem to establish, is
usually SMALL but the Investigators
which make the practice more advan-
tageous than would appear at first
sight.
Among these advantages, 1t is point