The Washington times., 1921-07-23
GAS.CO NOW SEEKS
HIGHER RETURN
THAN6PERC Cent
Utilities Boards Duty to Keep
Rate Down to $1.1o, Clay
it ton Claims.

.
eeet for gas. and the Public Utilities
Commission should sec to IT that they
do not. according to q statement
made by William Nick. Clayton.
counsel for the Federation OF Citi-
zens. yesterday just before the clos
ing OF the hearing by the commission
on gas rates.
II washingtonians should pay $l.o9.
the company's engineer estimated
that the company would earn per
cent on the fair valuation based BY
the commission. The rate Of $1.1o.
for which the company agreed TO
sell gas. win provide . rate of more
than per cent. It was testified.
The first intimation. that the Gas
Company was asking for q higher
rate of return than the usual 6 per
cent set by the commission camo
during the closing minutes Of the
hearing when Evan H. Tucker, presi-
dent OF the Northeast Washington
tirizens' Association. asked what
tite of return the proposed price Of
sl.l5 per thousand cubic feet would
Yield.
Luqueer Questioned.
Robert o. Luqueer. gas engineer
retained by the company to help In
the presentation of it's case. said he
figured that q rate of $1d4 and
fraction would yield an 8 per cent
rate. Tucker then asked what price
Washingtonians should pay to yield
the company per cent. LuQueer
said that he estimated $1.0s per
thousand cubic feet would yield .
per cent rate. 80
Clayton brought out that Baltimore
is ng 90 cents per thousand feet
tor as, but the company said gas
could not be produced for that price
here. claiming present conditions in
Baltimore are unusual and II they did
not continue, Baltimore could not
sell gas for that figure.
CLAYTON directed the attention OF
the commission to the fact that sew
sral big corporations throughout the
country are reducing the salaries of
officials, but he was unable to OBJ
tain any Information from the off
GERS OF the Washington Gas Light
company as to whether they con-
template such action.
Washington 10 now paying $2z.O0O,-
COO q year to the public utilities Of
the District, Clayton said. which Is
much higher than before the war,
and now that everything IL dropping.
he saw no. reason why there should
not be q fall In the charges for
pubhcs utilities,
Attacks Official Salaries.
THE salaries OF the Washington
Gas Light Company officials were
increased Q short time ago." he said
II do not believe salaries should be
increased at this time when every
one else In suffering . loss In pay
The salaries should remain stationary.
at least" l
Tucker said that the company
should be held down to per cent
return because there Is tendency
throughout the country toward re-
duction in thu cost of labor and ma
terials and interest charges on money.
He also contended that the rate
should be fixed for short time only,
10 that when things throughout the
country are further reduced the Gas
Company should be. asked to come
down within the per cent profit.
BENJAMIN 8. Minor, counsel for the
company, asked the commission to
FIX the rates for a longer period. be-
,ause the officials thought they
should not be called upon every three
Jr six months to come before tho
commission. He asked that the rates
be established for the duration OF "A
year, subject to further order Of fhe
commission.
II II believed. that the rates OF all
the public utilities companies, which
have been the subject Of hearings
during the week. win not be An
nounced for another week or wo. A.
the commission u going ir o tho
question Of depreciation next week.
and probably will desire to settle the
question OF rates and depreciation
charges 1T the same time.