Evening star., 1927-04-05
GAS RATE BATTLE
TO START AT ONCE
Maryland Officials to Press
for Price Revision in
Montgomery.
By a staff Correspondent of The Star.

By staff Correspondent Of The Star.
ANNAPOLIS, Md, April 5.-Gas
ompanies serving consumers in near
by Montgomery county, Md, are fac
ing a three-cornered battle TO force
them to cease price discrimi ations,
which they are alleged to be impos-
of one Of the last acts of the Mary
land General Assembly just before
the adjournment of it's 90-day session
at midnight last night. The assembly
pa ssed "a resolution. offered several
days ago in the House of Delegates
by Speaker T.. Brooke Lee, Silver
Spring. and which was fostered by the
Montgomery County civic Federation,
calling for an investigation by agen-
cies of the executive departments of
Maryland and cooperation with fed"
eral agencies to the end Of having the
price determinations removed.
The preamble of the resolution sets
forth that "The Montgomery County
Civic Federation has unanimously
adopted ii resolution pointing out that
residents of Montgomery county. Md,
are now required to pay % cents per
/. 200 cubic feet more for gas manu-
factured in the District Of Columbia
than residents Of the District of Col
umbia are required to pay for the
same gas.
Discrimination Is Seen.
''This differentat tion is a manifest
discrimination against such Maryland
gas-users, effected through the means
Of paper subsidiary companies owned
by the District of Columbia company
manufacturing and selling such gas,
and which subsidiary companies are
useful only as vehicles of diScrimina-
tion against residents of Maryland,
and that "all remedies provided by
existing Maryland laws have been ex-
hausted without securing relief"
The resolution then directs the at
torney general and the Public Service
Commission Of Maryland ito investi-
gate the situation and cooperate with
the proper authorities Of the Federal
Government, either legislative or ex-
ecutive, to the eud that effective ac-
ton may be secured to remove the
said discrimination; and the attorney
general and the Public Service Com
mission are hereby designated rs the
representatives Of the State Of Mary
land for this purpose"
The resolution, which does not re-
quire the signature Of the Governor
OF Maryland, makes State officials
sponsors for the Montgomery County
residents in what is to be n deter
mined effort to force the gas compa-
MES to reduce their rates.
Officials to Act at Once.
]. Bond Smith, chairman of The leg.
islative committee of the civic fed
Grafton. was at the State Capitol last
night and conferred there with all the
members OF the Public Service Com
mission, and was told py them that
as soon as the resolution was received
they would Immediately start to work
to carry out its provisions. The mat
ter has been thoroughly fought out in
the courts, without relief, because of
the divided authority, ana the pur.
pose of the present resolution in to
get the Interstate Commerce Commits
sion 10 take charge of the situation
because of the fact that the gas is
manufactured in the District of Co.
lumbia and served by pipe line into
Maryland. which. it is claimed. gives
the Interstate Commerce Commission
authority.
The fight Is to be made principally
against the alleged discrimination in
rates. as 1t was said that the Public
serve District users than the Mary
require the companies to make rea.
sonable extension in their lines as
soon as the other matters are cleared
out.
Same Main: Prices Differ.
tt was pointed out by Mr.. Smith
that there is no reason for the price
determinations, as the gas in many
instances goes a longer distance TO
serve district users than the Mary
land Users. He cited the instance IRE.
vailing on Eastern avenue in Takona
Park, Md. This is the boundary street
between the two political subdivisions.
Gas users on one side of the street
tapping the main pay % cents more
lof their gas than the users on the
other side of the street tapping the
same main. In some instances, the
service main runs into Maryland and
then back into the District to service
users there, which makes the claim
that the price is due to the longer
haul a fallacy.
The companies in Maryland are de.
clared merely paper subsidiaries Of
the parent company in the District of
columbia. There is no meter ut the
Dlstfct line to determine the amount
Oh gas purchased by the MARYLAND
companies, 1t was said by those fa.
lhlllar with the situation. The total is
inquired from reading of the house
meters, plus an arbitrary amount
charged to loss by leakage. The bills
are rendered by the Washington com.
panles and paid to them, 1t was said.
tIls points to the fact that it is an
interstate distribution Of the COM
monty, 1t was added, and the matter
IS to be pressed by the Maryland
commission.
VIII Push Fight to End.
If, upon investigation, it is found
that additional legislation is needed
this also VIII be pressed, as those be.
NINA the matter are firmly determined
TO push the fight until the gas rates
are equalized and the discrimination is
removed.
nen the case is investigated. IT was
pointed out, it is believed that the
Maryland authorities win have suffi.
cIent data to make q case before the
interstate Commerce Commission. and
that body when it gets the facts of the
interstate transmission of the com.
modify will find it possible to grant the
relief asked by the Maryland users.
Eitorts had been made to get the Dis
trict Public Utilities Commission to
handle the situation, but the case was
thrown out because of the lack of
jurisdiction over the MARYLAND lines.
IL was then taken to the District Su-
preme Court for a writ of mandamus
on the District commission, but relief
was refused there and +ba TTnifad