The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1927-03-15
GAS RATES

That reduction of 10 cents a thousand cubic
feet in the price Of gas welcome it isto the con-
sumer who has been accustomed to higher ana not
lower charges of it's surprise IN the Ignt
of the financial report of the Citizens Gas Company
for the past year.
True it is admitted by the public service COM
mission there would have been no reductlon III
all probability had not The Times printed some
facts early in January concerning the earnings OF
this company. +
The cut in. rates. made under circumstances
which have all the appearance of agreement between
the commission and the company would propaoy
have been postponed for at least another year had
not The Times given to the public some information
concerning the earnings of that company.
The gas company stands different basis
than the other utilities of this city and its right TO
exist which means it's charter and it's FRANCHISE
argain with the city, is based upon the theory that
at some time this company will be owned by the
people of this city, as city
Public spirited citizens who participated in its
formation and it's financing held out to the public
the hope that at some time when they had received
their money back with generous rate OF interest,
it would be turned over to public ownership, to be
operated or leased by the city and that thereafter
the city would have the advantage of fuel at cost
price or at least the profits from operation would
go back to the people themselves
At that time. the capitalization of the company
was very small in comparison with the huge amounts
which promoters in these days place upon their
equities in utilities.
The report for the past two years shows that
the people have been taxed for gas and have paid
for the byproducts of the company at rate which
permits not only the wping out of most of the div
dends which were not paid through series OF war
years but to pile up huge srpluses and to make
very extensive improvements and developments.
The report, also is evidence of fine management
on the part of the employed officers and executives
of the company and for that the people should be
grateful if the original purpose is finally carried out
and they receive the benefit of this service.
The commission announced with great JUNCTION
that it had made an exhaustive study of the gas COM
pany, statement which is somewhat suspicious
when it is known that it did not have the financial
report the past year until it had handed out the
reduction Of 10 cents thousand. There is still
lacking any public information as to the facts
which it arrived at the conclusion that This 10-cent
cut is either sufficient or perhaps desirable.
Possibly the commission may have facts which
the people ought not to know. That seems to be
popular theory these days, that the people are not
to be trusted.
But now that the report is on file, is it beyond
reason to ask that the commission or public
body suggest that the time has come to put into eff
feet the original agreement and that steps be taken
to wipe out the common stock certificates rapidly
possible and hasten the time when the company
shall be turned over to the city?
Is 1t unreasonable to suggest that here is
phase Of the gas situation which demands even more
exhaustive and careful study than that given by the
commissioner who has held his place the public
service body for only few weeks?
How soon or when could the city really own
the plant the public spirited citizens who founded
it intended that it should be owned?