The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1921-07-31

FARE CUT WILL Be
BLOCKED BY court
| BATTLE, FEAR NOW
-YearSPepco Litigation Cited
to Take Joy Out Of Ordered
! Reductions.

to Take Joy Out OF Ordered
! Reductions.
Tho next move In the street car sit
uation in Washington Is up to the
Washington Railway q Electric Co.,
according to opinions here last night.
Just how the railway company will
take the action of the commission In
reducing the street car fares and at
the same time reducing electric light
rates, in the face Of the contention by
the railway company that 1t cannot
exist on lower rates than 1t Is now
receiving, ia problematical.
Court Fight Problematical.
Whether the company will submit
60 a reduction Of one-half cent In
street car fares and per cent re-
duction in electric light rates without
q court fight, could not be learned.
The only significant thing In the sit
nation after the decision Of the COM
mission yesterday was the statement
by President William #. Ham, of the
Washington Railway & Electric Co.,
that sufficient time would elapse be-
tween the decision Of the commission
and the time when the new rates went
into effect for the board Of directors
of his company to consider matters
involved in the commissions orders. ="
It was expected that the plan
proposed by Commissioner Oyster to
lower the street car fares and per-
NIT the electric light company to
raise rates, would be the only way
out Of the situation, as the railway
company claimed that 1t could not
exist on the return that 1t was
getting.
The new street car, electric and
gas rates which go into effect on
September /. will mean q saving OF
about $4,000, 900 year to the people
of the city. President Hare, OF the
Washington Railway and Electric
Company and the Potomac Electric
Power Company in statement yes
terday said that the profits to the
Washington Railway and Electric
Company on the proposed fares
would be about 1857 per cent.
Rate Battle Undecided.
When tho Public Utilities Commits
sion refused to allow the Potomac
Power Company a rate OF 10 cents per
klowatt hour, about two years ago.
the company obtained an Injunction
in the District courts whereby 1t now
collects the 10 cents, but impounds u
cents, the difference between the rate
asked and the rate allowed by the
commission. When the courts finally
rule on the matter the money either
will be returned to the company or to
the public.
The chance that the Washington
Railway and Electric Company would
do the same thing was discussed In
many quarters last night. 1t was
stated that IL the company did adopt
ho q oh{n OF 10 n
would be paying cents Cor street
car ride for about three years, as 1t
would take the courts that long to
adjudicate the matter.
On the other hand, IL was commended
that the Capital Traction Company VIII
adhere to the order of the commission
and lower its fare to five tokens for
So cents.
With the Capital Traction Company
charging Z cents for ride and the
Washington Railway and Electric Com.
pany charging 3, 1t was said that the
Washington Railway and Electric Com
pany would suffer tremendous loss
Of patronage.
Ham Issues Statement.
President Ham yesterday afternoon
issued the following statement after
being advised of the action Of the com
mission:
II have not had an opportunity to
make a careful calculation Of the re
suit under the commissions orders re
lducing the rates Of car fare and Of cleo
trio lights and power.
ut would appear, however. that the
revenues of the system will be re
duced about s550.000 per annum, OF
which approximately 1897 900 will fall
upon the railway company, reducing
the rate OF return to 1857 per cent or
the fair value of the properties as fixed
by the Public Utilities Commission
The new order is not effective until
September 1, which will be ample fol-
the board of directors OF the company
70 consider the matters involved In the
commissions orders"
The action of the commission In
reducing the electric light rates was
the greatest surprise of the three
decisions it handed down. The
Washington Gas Light Company last
week made a voluntary offer to re
duce it's rates from $1.25 per thou,
sand cubic feet to the household
users to $1.15. The showing made
by the company and questions OF the
members Of the commission indi
Gated the rate would be lower than
the reduction offered by the com
pany. The decision Of the commits
sion yesterday cutting 1t down tc
s1.10 per thousand cubic feet did not
cause any great surprise.
It was estimated last night thai
the action of the Public Utilities
Commission on rates for public util
flies In the District will save the
residents OF Washington several mil
lion dollars year. The only rate
that was allowed to stand was thu
rate Of the Chesapeake and Potomac
Telephone Company.
Commissioner James #. Oyster dis
eented in both the street car ant
electric light decisions, Col. Charles
w. Kutz and Commissioner Cuno II
Rudolph voting for the reductions.
WORLDS LARGEST COKE