Evening star., 1941-06-08

With the appointment OF Secretary
Ickes as petroleum co-ordinator for ma
tional defense, President Roosevelt, exer-
cising his unlimited emergency powers,
took the initial step last week to place
the oil industry under Federal control.
In his new job, Mr.. Ickes will have broad
authority over the production, distribu-
ton and use of petroleum, a material
of vital Importance in our national
economy, both in peace and war.
Travellers returning from Europe tell
many stories of the drastic restrictions
imposed on the use of gasoline by
civilians. To Americans, living in
land with a filling station at nearly
every corner, these restrictions are not
easily envisaged AS a means of con-
serving oil for defense needs, a COM
mittee of the American Petroleum Insti-
tute, in report to Co-ordinator Ickes
and Office of Production Management
made public Tuesday, recommended
"gasless" Sundays, and the lowering by
five degrees of oil heat in American
homes. AS straWs in the wind, these
fact that the Nations war effort. in all
PROBABILITY, will require reductions in
the non-military use of oil and other
products needed in the rearmament pro-
gram. For the present, it is proposed
to reduce consumption only in the
East.
The United States faces no shortage
Of OIL the experts tell us. In 1910 pro-
duction in this country averaged 3,692,-
900 barrels a day, Or So per cent of
the worlds total output BY compari-
son, the resources controlled by the
Axis seem small indeed-about per
cent of United States production. The
Axis figures include production in con-
quered territory, and also embrace
synthetic petroleum products. If neces-
sary. United States production could be
increased 80 per cent without the tap
ping of new underground reservoirs.
Why. therefore. the talk of rationing
and Sundays without gasoline sales?
The answer is simple one, bottle
neck IN transportation. Of the petro-
leum products consumed in the indus
trial East. 95 per cent are shipped there
by tanker. The movement from the
Gulf Coast alone averages 1850 900 bar
rels day. and requires a feet of about
$50 domestic tankers
approximately so of these tankers
have already been diverted to the British
supply service, and other diversions may
be necessary to replace British losses
Though the Maritime Commission has
recently authorized the construction of
several new ways to be devoted solely
to the construction of tankers, it will
be another year before these facilities
will provide sizable reinforcement for
our tanker fleet.
In its report last week the American
Petroleum Institute Committee estimated
that the East Coast States will consume
$4,000, 900 barrels of Oil this year. Tanker
tonnage now available to service the
Atlantic seaboard falls substantially be-
low the amount needed to carry this oil
to East Coast ports Hence its recon-
mendation for restrictions to reduce this
demand by about II 900 900 barrels, equal
to the carrying capacity of so 10,000-to
tankers
Transportation Bottleneck.
Other methods have been proposed to
eliminate or ease the transportation bot
tleneck which has developed as a result
of the emergency demands on the do
mestic tanker feet. The most important
of these are the immediate construction
of new pipe lines linking the producing
areas with the great consuming centers
in the East. The House last week passed
bill authorizing the construction of
oil pipe lines to the Atlantic Coast.
These pipe lines could not be built
overnight and this method, therefore,
offers no immediate hope of relief
The development OF other means of
transportation to the East Coast is also
under consideration. Railroads might
carry some of the oil that in normal
times would be shipped by sea. Barge
transportation facilities are being ex-
panded If carried by water up the
Mississippi and the Ohio only compare
lively short land haul would be necessary
to deliver oil to Eastern consumers