Evening star., 1938-01-17
COAL FREIGHT RATE
DISCRIMINATION"
CHARGED BY EARLE
Large Factor in Downfall of
Pennsy|vania's Vast In.
dustry, He Says.
GOVERNORS CHARGES
MADE BEFORE !. c. c.
Railroads, Seeking Increase in
Prices. Assailed-Picture of
Near Destitution Given,
By the Associated Press.

By the Associated Press.
Gov. George H. Earle, in a sharply
Worded protest to the Interstate Com
merce Commission. charged today that
discrimination" in railroad freight
rates was large factor in the down.
fall of Pennsylvania vast coal in
dustry.
The charges were contained in a
statement prepared for personal de-
livery before the l. c. c. in an at
tempt to block the railroads request
for increases of Is cents ton on soft
coal and Is cents on anthracite.
Both anthracite and bituminous
are weak industries-the railroads are
demanding the right to weaken them
still further" the Pennsylvania execu-
tive declared. That amounts to in
dustrial cannibalism."
G. v. Van Norman. representing
West Virginia coal operator interests,
challenged Mr. Earle's general con-
tentions on the ground that he had
not included in his statement many
different factors involved In freight
rates.
Charges Discrimination.
P1cturing Eastern PENNSYLVANIA,
worlds greatest anthracite producer,
as near destitution and the heaviest
relief responsibility of the State. Gov.
Earle blamed much of the decline to
the hard coal interests on discrimina-
ton on freight rates.
He hurled the same accusation as his
explanation Of why Western Pennsyl-
vania lost its position to West Vir-
ginia as the greatest producer of soft
coal.
III this case were concerned solely
with an ordinary and routine freight
increase I would not come before
you" the Governor said. "Unfor-
tunately for Pennsylvania. 4 greater
issue has arisen. 1t is the issue of
life or death for many mining prop
critics and for many communities of
the anthracite region. In the bitum-
inous area the issue is between the
continuouxs1ubmFsion of the mining
industry In an economic swamp or q
graduAl return of this area to rea-
sonable prosperity"
Out Of Sales Picture.
I'VE were in bad shape before. With
the proposed new rates added to the
artif1cially high price Of Pennsylvania
Goals. We shall be absolutely out of
the sales picture" he pleaded.
Gov. Earle's comparison of rates
showed: That lake-cargo coal shipped
from the Pittsburgh field to the North
west was sl.46 a net ton for an
average distance of l72 miles. From
Northern West Virginia. 81 miles more,
the rate was only 20 cents more.
Higher wages in Pennsylvania and
higher statutory safety requirements, -
he said, increase the cost of Pennsyl-
vania coal 30 that coal coming to lake
ports and elsewhere with slightly
higher freight charges is still sold at
a profit under the lowest possible
prices for Pennsylvania coal"
Cites Other Rates.
He said that the rate for the West
moreland district to New York was
1892 for 461 rail miles and from West
Virginia to Hampton Roads in vir-
einia. was $2.62 for 487 miles; that
the through charge from the same
district to Boston was 1912 for 76l
miles and from West Virginia to the
same destination was only $3.42 for
1887 miles.
Such discrimination" he asserted,
caused Pennsylvania soft coal produc-
ton to drop 100000 tons Of lake
cargo In 1918 to 100000 in 1896, while
southern districts jumped in the same
period from 100000 to $4,000, 600
tons.
Five Pennsylvania Representatives
in Congress from the hard coal fields
presented petitions from their locali-
ties in support of the Governors plea