The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1918-08-15
PETROLEUM PRODUCT.
Continued from First Page.)


War Service Committee
The fundamental features or the PUN
,o,v agreed upon are these:
!. That the large purchasing co','-
nonlcs shall continue I" purchase cIuu'
oil nj the posted market price.
> That all other purchasers VINO no"
nay u premium for crude oil, be mere
after permitted to pay certain S'at.u
urrn,iums. they bong substantially ''e
saline as those now i'll fleet.
2 All contracts hereafter made fnr
,hc diversion of crude oil from It's exist
in,. channels arc Ia be submitted TO COM
r,j,trrs ON cancellation and 60 '"2cratloh'
created ny the trade. These committees
will h, constituted OF an equal number
NJ rurrhaSrrs and producers Of :rnd" OIL,
o,5 ot lrusI one and not exceeding three
disipt,rcs,ed men Of standing III the
community.
Tho ,rIiuns Of thrS. committees art
In h, rcpur.cd to the National Petroleum
War Service Committee and, IN case oil
disuutr which tne NATIONAL committee
; annnt settle. matters arc I" h. r'lcrt''i
to tn, ,ul Division Of the United States
Fuel Administration.
II is stated IN Chairman Hcdfords
letter that the purpose anu intent '''.
ing that the industry and all connected
Herewith shall use every effort 1" Sr''
,Ic within their own councils all mat
tiers Of dispute and difference otloFe
hu rdruing tine Oil Division with lheIr
troubles. thereby carrying out 10 ING
full.s, extent Feasible the principles Of
sclf-Eorcrnmrnt."
II is also stipulated in the plan:
That all contracts hereafter entered
into for the purchase "f crude oil III IL
premium shall contain the following
pruviSi"n:
THAT all parties tn this contract
agree mat thus contract shall he SUB
icct to cancellation or assignment IN
whole or in part at unj' tim" upon 'hc
request or ordcr If the resident OF the
United States. uG thu /. s. Fuel Admin
istruIlon or IF the Director Grnrr raj OF
The oil Division II In" Fuel AdfniniStrI-
t,rn acting under authority Of the Pres
idcnt"
In arnrnvinE the plan Of the National
Petroleum War Service Committee. Mr..
NJ l.. Ecqua- Director General ri IN"
oil Division uf tn" United StA'"S Fuel
Administration in Il letter 10 the COM
mttrc said in part:
81 want FIRST [" SAY that il ~ the
understanding of tins department that
,br premiums mrnIuucd are To be max
imum and ar, not tn lac paid unless alb
Solutrly necessary: arc not To Dc used IN
Justification for Il demand for ln"rcaScd
prices for refined products: and mat
prices above existing posted prices If
justified at all can only ~ =" upon the
score Of existing trad" practices making
such premiums necessary Ia prrf.iIt ;hc
s,nrl purchaser 10 Srcur,. his crude. II
government control and direction finally
follows aS Il national need, premiums
will hrlIcvc. be entirely wiI"d our. rs
present posted prices ara IN lh"mS"lHrs
ample 10 stimulate and encourage pro-
ductinn.
81 have already pointed out TO our
committee that competition for crude
with resultant advances IN prices would
not in my Judgment produce any add
tinnal quantity Of crude oil. but would,
on the other hand. hc in direct conflict
with national welfare. We are in an era
Of high costs. and it is not expected
that the products nf PETROLEUM Will not
in rational degree rcflcc; this cnndi-
lion. An effort tn maintain prr-war
prices would inevitably result in m
dustrial StarnaIiun ST profound IN char
actrr as tn menace national welfare. No
one expects prc-war prices. On tho
other hand, il Is equally Obvious that
the selfish individual cannot nc per
mittrd In take advantage Of abnormal
conditions TO reap unjrS: and cXtnrtIun-
ate profits.
This whole program, rs I tax" il. is
u prevent the possibility of any such
charge being made against tho oil i'll
dustry. It's intent. therefore. il would
seem is in some measure tn guarantee
the ultimate consumer against adsauc-
ing prices and If possible ultimately to
reduce these prices. II ls distinctly
not for the purpose OF cuuntcn;Iucirs.
approving or juStlfying advanced prices.
II should like tn repeat here u state
mcnt made by me in my Oklahoma adj
dress. for | believe II eptum,zcs the
policy Of this division:
~ shall expect that in all vcHatinuS
problems. disputes and tr.Ldc adjust
ments tho industry will cndcavnr tn
govern itself and reach satisfactory
agreement either Independently as be
tween the parties interested IT with the
mid Of the local commIttcrs: failing
that. then through the good offices of
the National Committees: appealing to
Washington only AZ tho last resort after
nil the above suggested means Of set
tlcmcnt have been exhausted Central
izltinn Of control in Washington as to
the details of the industry is hopeless IL
we arc to have the greatest efficiency
and cxcrtion of the maximum effort