Evening star., 1926-12-09
RAILROAD RATES
| ON COAL ATTACKED
Power Company Charges
Tariff to Benning Is Dis
\criminatory.

Attacking Me freight rate of S3.13
on bituminouA coal from the New
River field of west Virginia to points
in the District of Columbia on the
Pennsylvania and Baltimore and Ohio
Railroads. Lindley f. Sinclair. gen.
eral superintendent of the Potomac
Electric Power Co., Ald an examiner
for the Interstate oomk1erce Commits
sion today that the light and power
consuming public in the District of
Columbia pays q higher rate Tor ltS
electricity because Of the alleged un-
REASONABLE and discriminatory freight
rate on coal charged the power COM
pany.
Mr.. Sinclair said the Potomac Elec'
trio Power Co. will pay during 1870
more than $1,000 in the "unreason:
able rate" alleged over the general
rate of s2.s4 per gross ton on coal
over other railroads TO destination
points in the District of Columbia.
The 2a-cent differentiai between the
S2S4 rate and the $3.1S rate charged
buyers of coal on the Pennsylvania
and B. o. represents 4.66 per cent
of the production cost OF power of
the Bennings plant Of the local power
company. he said. The power COM
pany, which will burn at It's Benning
plant 246 900 tons of soft coal during
1926. will spend $l.263,SlO for that
coal, Mr.. Sinclair said.
Holds Public Interested.
The power consuming public in the
District of Columbia is interested in
any freight rate reduction on coal
for power aking purposes. Mr.. Sin
clair said as each year the efficiency
of producing power increa ses and the
public gets the benefit of possible
rate reductions. He explained to Ex-
amner Perry that the electricity rate
in the District Of Columbia is fixed
by the Public Utilities Commission.
and declared that coal is the biggest
factor of expense in power production.
averaging 821a per cent of power pro
duction costs at the Benning plant Of
the local power company.
The John p. Agnew Co.. local coal
retailers, must absorb the differential
of % cents charged for soft coal from
the New River field by Baltimore and
Ohio delivery at the First and NJ
streets yards of the company. in order
to meet the keen competition of other
Washington retail dealers in soft coal.
o. G. Raymond of the Agnew com
pany testified. The same freight of
1913 to Renning applies to B. Il O. de-
livery at First and NJ streets. Mr.. Ray
mond said.
THE 29-cent differential is entirely
discriminatory and hurts us very
much In retailing New River coal we
must absorb the 29-cent differential
over our competitors who receive coal
at other points on the Pennsylvania.
1t is necessary for us to show the
sa me retail price as our competitors.
The Fadeley Co.. prominent whole
salers of coal. were also named as
intervenors in the complaint, with
others.
Built Own Tracks.
Mr.. Sinclair explained that the
poWer company had turned down
proposal by the Pennsylvania Rail-
road to construct tracks into the Ben
ming plant. and had built them itself
at a cost of SIT 900 to haul coal from
the Pennsylvania siding, a distance
Of about one.half mile. by electric
power. A similar arrangement has
been made to andle coal from the
Baltimore and Ohio siding. mile and
a quarter distant from the Benning
plant.
1nterventions by group of Penn
sylvania btuminOus producers. who
presented brief intending to show
discrimination II the S3.13 rate is re-
duced. were temporarily allowed by
the examiner over the protest of c.
r. Marshall, attorney for the com
plainants.
Mr. Sinclair produced a rate analy-
sis showing a general rate of S2.S4
on New River coal to points in the
District Of Columbia, Maryland and
Virginia against a rate of 1913 to
Benning. To Relay and Rosslyn. Va,
the Washington rate of $2.S4 applies
Mr.. Sinclair said. while to Benning
the 1913 rate applies. distance of 80
miles beyond the Washington station.
The 1913 rate, he said, applies to all
r. & o. points.