The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1934-07-26
CKES IS ASKED.
TO TAKE HAND.
IN GAS PRICING.
Governor Takes up Pro-
lpuosal With Him and
Dealers in State
BY. c. BASKERVILL
Tb,. fumes News l'ur"m
Sir Walter Hotel

RALEIGH July Ex-Governor
J. C.. B. Ehringhaus has again Ia
ken notice of the high cost OF gas
dime in North Carolina, whlcn
within the past few days advanc-
ed another two-tenths of a cent a
gallon to 22 ITO cents per gal
lon from a former high of % l-2
cents per gallon, by writing a let
ter both to the principal dealers
in the state and to Secretary OF
the Interior Ickes, who is the ad-
ministrator of the petroleum
code.
In the letter to the gasoline
dealers in the state, Governor
Ehringhaus asked them if this
price Increase was their answer to
his request of some weeks ago, IN
the conference he called of gaso-
line dealers here, in which ne ask
ed them to do something to try to
bring gasoline prices down to
lower level in North Carolina. AT
that time, gasoline was selling at
22 1-2 cents per gallon in North
Carolina, although tire same COM
NAMES had been selling the same
brands at Is cents a gallon in Vlr-
ginia, Tennessee and Alabama.
The action of the leading compan-
les in advancing the price within
the last two days to % ITO cents
per gallon indicates to some OBJ
servers that they are deliberately
thumbing their noses at the gov
ernor and his efforts to bring
about fairer gasoline prices in
North Carolina and that they in
tend to disregard his request,
In his letter to Secretary Ickes,
the governor placed the situation
here in North Carolina with re-
gard to gasoline prices before him
as administrator of the petroleum
code. with the request that he
make an investigation or take
some action to see if North Caro-
lima was being Disseminated
against by the various gasoline
and oil companies, and, if pos
sible, do something to bring about
fairer prices in this state.
1t is agreed here, of course, that
Governor Ehringhaus has no au-
thority now to take any action to
bring about lower gasoline prices
and that the big gasoline compan-
les can go ahead and increase the
price of gasoline as high as they
think the public will stand it and
as long as Secretary Ickes and
the petroleum administration
board will let them get by with
it. On the other hand, as Gov
ernor Ehringhaus reminded the
representatives of the gasoline
companies here at the conference
he called some weeks ago it is only
a little over FIVE months until the
general assembly meets and it will
have plenty of authority to do
something about high gasoline
prices.
The general assembly raight do
several things that would make
gasoline prices tumble and tumble
fast. 1t might authorize the gov
ernor or the state highway and
public works commission to open
up a number of state-owned SER
vice stations in strategic locations
over the state and sell gasoline to
the public at wholesale prices. The
state could thus undersell the 9TH
er gasoline companies at least
four cents per gallon and probab-
lyimore. 1t is conceded that this
would Immediately cause the large
gasoline companies to reduce their
retail price to the price charged
at these state-owned filling sta
tions, This plan has been followed
by several municipalities in Ten
nessee and Alabama and has
worked every time. When the
price came down, the state could
then merely stop selling to the
public. If the price again advanc-
ed. it could again open these sta
tions to the public.
"If the legislature would appro-
pirate $4,000 for that purpose,
we could get control of enough
filling stations over the state to
virtually control and dictate the
retail price of gasoline, Just as
the large gasoline companies now
control the price," state official
said here TODAY. "The state could
fix what it considered a fair re-
tad price for gasoline and sell it
to the public from these state
owned stations at this price. This
would compel the big gasoline
companies to meet this price"
Still another plan regarded as
feasible, would be for the state
to buy Or build bulk gasoline
terminal at Wilmington or More
head City, buv its gasoline in
tank ship lots direct from the gulf
coast refineries and then sell it
to dealers generally in the state
at what it considered fair price.
This, it is maintained here, would
compel all the other gasoline COM
panies to meet the states price to
their dealers and thus keep gaso-
line prices down to a fair level.
Indications are that the gaso-
line companies think the govern
or is fooling. But he may be more