The New York herald., 1922-09-01
P. S. c. ORDERS $1.15
GAS OCT. | AS RATE
FOR MOST OF CITY
Cut Amounts to s Per Ct.;
Years Saving Predicted
as S5,5O0,000
CANDLE POWER TO GO
New Standard Of Measure
ment Will Be British
Thermal Unit.
DEPENDS ON FUEL COSTS
Consolidated Indicates Accept
ance With Reservations for
Serious Conditions
DEPENDS ON FUEL COSTS

Lower gas rates, effective October
I and expected to represent saving
of s5.500,000 year TO consumers In
Greater New York. were ordered yes
terday by the Public Service Commits
sion.
At the same time the companies
standard of measurement will be
changed from the candle power, here
tofore discarded by every important
city except New York. to the British
thermal unit-from an illuminating
standard to heating standard.
The rate paid by all consumers in
Manhattan and most of those in The
Bronx served by the Consolidated Gas
Company, is cut from $125 to s1.15
for 1000 cubic feet The same is true
for the majority of Brooklyn con-
sumers, served by the Brooklyn Union
Gas Company. This reduction amounts
to 8 per cent.
An innovation in the form of
graduated scale for large consumers
is announced. On basis of S1.l5 per
1000 cubic feet for the first 100000
used in month. the next 100000 will
cost $1.10 per 1000 feet, the next 3o0,-
900 will cost s1.05, the next 100000
will cost 81, and each 1000 feet oSer
100000 will cost 95 cents, This re-
duction from the present rate ranges
from 10 cents TO 80 cents a thousand,
according to the quantity used.
William A. Prendergast, chairman Of
the commission, also announced that the
Consolidated Gas Compang end the
Brooklyn Union Gas Company will
undertake. at the request of the COM
mission. to bring about the long talked
of merger of all their subsidiary COM
panies with the parent companies under
the two parent titles, This. Mr.. Prender-
gast says. win insure uniform rates and
lead to economies and efficiency In ad-
mInistration. The Consolidated has
seven subsidiaries. the Brooklyn Union
five.
Acceptance Indicated.
1t was intimated at the offices of the
commission that the gas companies
would accept the rate reductions as or
dered. The same intimation is con-
tained in the following statement from
Robert A. Carter. vice-president of the
Consolidated Gas Company:
THE commission has seen fit to base
a present drastic reduction in rates upon
a hoped for but uncertain Improvement
III conditions and decrease in fuel costs
at some time in the future. An ac-
ceptance Of the orders, IL filed would
be coupled with a full reservation of all
our rights should conditions become
more serious and the rates would be
given fair trial in good faith In the
hope that they would soon become ade-
quate. In other words. the restoration
OF higher rate would not be sought
unless conditions urgently required II as
a matter of justice to our investors +"
Mayor Hylan said recently that the
companies could afford to sell so cent
gas. which the Legislature ordered them
70 do In the law passed In 1906 and
which was declared TO be confiscatory
and unconstitutional by the United
States supreme Court on March 8 last.
The city administration withdrew from
the hearings on Which yesterdays ac-
tion Of the commission Is based. Chair
man Prendergast said last night.
In order that no one need be deceived
BY the demands that have been made bv
some or the city authorities for a return
20 the 80 cent rate. we wish TO say 10
the public In air candor and az state
ment OF fact. that there Is no company in
the city OF New York that can afford 10
sell gas at so cents at this time The
cost of producing and distributing gas
without taking into consideration GER
tain taxes and return upon investment
amounts to more than so cents III In
the face OF what is the commissions
positive knowledge on this subject. there
shold continue to be any recurrence OF
demand for the so cent rate AZ this
time II will be evident that those induig-
Ing In II have no other thought than Ia
deceive the public for their own selfish
motives. The commission would be de-
lighted 10 offer the people OF New York
a lower rate than the one now fxed.
and Will be prepared to do so when a
lower rate can be Justly fixed But we
want the public TO know the facts
The commission has sought and
will continue to seek. n constructive so.
luton OF the public problems entrusted
&c II. But It is not to be swerved from
Its purpose or Influenced in the slightest
degree by those who deal in nothing but
destructive criticisms or suggestions
based on fallacies."
Asks Public Confidence.
According TO Mr.. Prendergast the
commissions order will not only mean
S5.500.000 yearly saving to the public
but they will receive n quality Of gas
better suited TO their purposes than the
present obsolete and uneconomical
candle power gas.
when some people will undertake to
say that we have lowered the standard.
let the public understand that this is NO.
true" the chairman said. THE British
thermal unit standard Is more appli-
cable TO the present household and in
dustrial uses Of gas than the old stand
Continued on Page Two.