The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1924-02-18
BOTH SIDES IN
LIGNITE FIGHT
AREPREPARED
: Ready for Hearing Which
Opens at Aberdeen Feb. 20
and Here Feb. Is
HISTORY OF THE CASE
Exhaustive Presentation
Planned by Those Fight
ing For Coal Industry

With hearings on the proposed lig-
mite coal tariff before the Interstate
Commerce Commission at Aberdeen,
S D., February 20 and before joint
session of the Interstate Commerce
Commission and the North Dakota
Railroad Commission in Bismarck,
February 25, the forces united in op-
posing sthe new tariff sought by the
railroads are fully prepared, accord
ing to officials, who have been large
ly responsible for mobilizing the
verious interests seeking to save the
infant coal industry of North Da-
kota. The hearings will find the car
rlers opposed by representatives of
the state governments Of North Da-.
kota, South Dakota and Minnesota,
the North Dakota Lignite Coal Oper-
ators association and many civic and
development bodies in the Ignite
j. consuming area of the Northwest.
Because of the widespread interests
in the case, occasioned by protests
made by the consuming public
against any increase in their fuel
bills, the hearing will be among the
more important rate hearings held
in the Northwest.
The hearing in Aberdeen will be
restricted to the proposed increases
III interstate rates, according to an
arrangement made between the In
terstate Commerce Commission and
the North Dakota Railroad Commits
sion, while the joint hearing in Bis
marck the following week will be
much more exhaustive and will cover
all angles of the case. The holding
of the hearing in South Dakota be-
fore the Interstate Commerce Com
mission is planned primarily for the
purpose of giving that body better
information on the South Dakota and
Minnesota viewpoint, large sections
If these two states being seriously
affected by the proposed increase in
'ates on North Dakota coal. The
Bismarck hearing, however, will be
The more important and will be at
tended by hundreds of men inter
asted in the proposed new tariff be-
cause it will add to their fuel bills
and because they are a party to op-
posing any effort to retard the de-
velopment Of the coal industry of
this state.
Tariff Filed Nov. 3.
The new tariff, officially known as
Northern Pacific Ry. tariff 3061-G.
n. D. R. 1873, was filed by the North
crn Pacific Ry. Nov. 8, 1923, to take
effect Dec. 6, 1928, with other car
riers serving the caol producing sec
lions of North Dakota concurring.
Examination of the new tariff re-
yealed that it would increase the
freight rates on Ignite coal an aver
.ge Of 81 per cent, thereby eliminat-
ing it from large part of the lig-
!iite consuming area where a market ,
Tor North Dakota coal had been de-
veloped within a few years. Real
izjng that such an increase would
close approximately 80 per cent Of I
the mines in the state, the North Da-
lsota Railroad Commission suspended |
the proposed tariff pending hearing
and applied to the Interstate Com |
nerce Commission for a similar sus-
pension. The application of the state |
commission was supported by similar |
requests from the commissions Of |
Minnesota and South Dakota and !
from state officials Of : the three
states, as well as Azores of civic bod
les and the North Dakota Ignite
Coal Operators association. The In
terstate Commerce Commission sus-
pended the tariff Nov. 10 and hear
ings were set for the fore part of
January but postponement to the
dates now set was secured by the
carriers.
With the tariff suspended, Gov
ernor R. A. Nestos and President
Frank Milhollan of 1.-The state rail-
read commission first sought to pre-
vail upon the carriers to withdraw
the tariff and when this attempt
failed they started to mobilize the
forces interested in opposing it. Cow
ernor Nestos issued statement de.
claring that the increase in rates on
North Dakota coal was unwarranted,
declaring that "if granted, the re-
suit would be to compel most Of the
mines in this state to close and to
leave US at the mercy of bituminous
coal operators of the east. It seems
to ne that this is move on the
part Of the railroads in, the interest
OF the bituminous coal operators and
the Duluth and Superior dock COM
panies who handle eastern COAL"
This statement aroused a wave of
against the proposed tariff
and eliminated in conference of
the Governors Of Minnesota and the
two Dakotas and demand made by
Governor Nestos to President Cool
idge to bring about<a congressional
into the alleged attempt /,
on the part Of eastern coal interests
to throttle the coal industry of North |
Dakota. The result was that the ,
President ordered the Interstate ,
Commerce Commission to make a .
special Investigation Of this feature ,
Of thee case. Immediately after Con-
zressr convened, Congressman Walter {
Newton of Minnesota introduced a
oill providing for Congressional in q
vestigation. Action on this bill is z
still pending. I
It was declared by the. carriers :
after the tariff was filed I
CONTINUED on page 81 Nv