The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1922-07-09
what Interstate Commerce
Commission Said AbOut
Necessity Of Bettcr
Rates From TuiSa

uf the Mir-is,ippi were operated 90
| approximately DO per cent oi cupd-
CITY.
shippers urged that
| the greater extent 90 which interior
southwestern rcilucrloB were idl" iu
1921, was due to tho percentage
Increased la rall rttoa on petroleum
products from These rriu"urs Co
| the northern ana eastern markets,
which had wIdoucl the spread boo
/ transportation charges 10 tho dis.
advantage OF southwestern r"iiuct-
/ ics
"For example. tho rates from
Tulsa. Okla, uul wood River. H..
to cleveland. ohio, prior To tho in
creusu OF 1920, wcru 80 rrnia ana
| 20 Couts, respectively. % difference
! against Tulst of 20 cents. That IN
cIcHae resulted In rates OF 81 and
| 35 cents, respectively, increasing the
difference to ~ CENTS
"rhe record indicates that al
though more than 90 por cent of
the crude petroleum produced ln the
United states in 1921, Cauo from
wells in the southwest, less than
! 90 per cent OF tho total crude pro-
duced was refined by the Interior
rofincries In that region. and that.
OF tho crude produced In the south
west. o. per cont moved either by
| pipelines TO refinories elsewhere, or
| by pipcllncs and tank vessels 10 tho
Atlantic ports, thus doprivlng tho
rail lines OF much revenue.
shippers say that such road1uSt-
mcnts as the carriers have made
since August 1920. instead OF less
| rning tho burden placed upon the
southwestern rotincrles by the per
centago increases, have augmented
| that disadvantage TO the extent OF
1875 cents per 100 pounds, the
amount Of flat reduction in rates
! between points in central territory
land from central TO trunkline ter
rtory. Following that reduction,
4 the advantage OF wood River comes
| over Tulsa In reaching Cleveland,
| became 30.5 cents.
80 This situation appears
| to clearly fan within the class of
readiustmcut contemplated when
tho increases OF 1920 were autho-
ri2ed."
(EpiTORs NOTED And why
tho Interstate commerce commits
sion did not order tho railroads to
play fair with Tulsa shippers at that
| time, instead OF suggesting "A re-
adjustment. is the one question that
has never been solved.
| "The railroads should promptly
reviso their rates from the soulhweat
| to the eastern groups In order 10
| lessen the spread az compared with
rates between points In central ana
trunkline territories continues the
| Interstate commerce comm issioh,
and, It is this readjustment that
/ has now been granted after nearly
three years Of hard shedding for
| the independent refiners hore,
Wood River Rciincrics.
| II Is interesting - noto that the
Wood River retinerles still have the
best of IL. The st. Louis chamber OF
| commerce. having the welfare OF
! It's refnerics at heart. recently
came out with II statement TO the
effect that tho refineries located al
| East 81. Louis and at wood River,
were Obliged to pay freight on crude
oil as well as the freight on east
bound stuff. Tho fact is that under
the commissions decision, the re-
| fined rate from Kansas or Okla
homa to Cleveland, Ohio, VIII now
/ be SO cents cents per hundred
pounds. on l0,000-gnllon car at
| 66 cents the charges will ho $4,000.
The refiner In Tulsa, Ia he pays
freight on a gallon car OF
crude oil for a distance of so miles,
will pay $7i. freight charges, or n
total of $4,000, It is this amount
that Tulsa refiners must pay to de-
liver car load ot 10000 gallons OF
refined stuff at Cleveland, ohio.
The refner at wood River Ill,
who, II he paid freight on his crude
from Kansas or oklahoma, would
pay on O,000-Eallon car, dellv-
cred at Wood River, !t77.6O, or "a
cents per hundred pounds on $4,000
pounds.
From wood River to Cleveland.
Ohio, on n 1O,0OO-gallon car OF re-
fined oil ne would pay S2075o, ut
I2lia cents per hundred pounds,
making total of S3S5,5O, leaving
him a margin OF $5Sl0 as against
the rofiner located In Tulsa.
This big difference In his favor,
has not satisfied his insatlahle Gu
pldlty Ho has been determined that
tho TULSA refiner would continue 10
pay the old rate OF 90 cents per 100
pounds from Tulsa 20 Cleveland,
! ohio; but has finally been Obliged
| TO Cupitulatc and 60 do nj least the
bidding ~ the Interstate commerce
| cOmml ssinn, ana submit 10 re-
duction that gives Tulsa at least
n look-in.
How Tulsa CompctcS.
II might be interesting TO know
lust how these Independent retiu-
( cries are able to compete, 10 IS pos
\ slble TO take the testimony OF Wal
4 ter &. TeaRlc, head OF the Standard
70 Of New Jersey on one phase OF the
situation, having n bearing on this
question, He said:
= 'When l got my training Il wa
;. IN "a little refinery at Cleveland,
% Meaning his fathers firm o.
Schofeld. Schurmvr & roaglc
which was later absorbed by th'
!, Staudard) We all worked tOgethe
D and were able TO accomplish won
/, ders by team work and by loyalt
to our firm"
Another thing, the Independent re
finer I'm the Md-Contineut field, 1
Y making a mighty hiEh-grade gaSolin
4 such as the trade demands. IL
m said by ono OF the largest indepen
dent dealers in the state OF Indian
that, I'VE use the gasoline take
from cars filled by the Standar
IS oil company to clean our decks eac'
Ie sunday" and this man has a trad
Is that far exceeds any other conccr
Ne in indianapolis.
g More than all the people OF IN
\, United states are strong for the In
l. depend fellows. who can fight ia
T., trade as against the greatest odd
D., ! in the world. There Is not hing tina