The journal. (Caldwell, Ohio) 1934-1961, 1954-01-21
THE GAS FIGHT OUT IN THE OPEN

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The fight between the Caldwell village council and the
Perman OIL and Gas company of Marietta has at long last
into the open 1t has all indications of being
bitter fight and there will be holds barred either by the
. company or the council
The friction between the gas company and the Caldwell
council really began almost two years ago when Perman
asked that existing contract be voded and they be
granted increase rates. They contended the local
supply of exhausted and necessary that they
another contract with Texas Eastern Transmits
gn Corp for additional gas-with much higher rate.
contract now in force was signed Tor period OF tive
years and it will not expire until October 1855 The COM
pany had this contract only with the villages of Caldwell
and Dexter City did not bind the outlying rural COM
munites.
The council contended that approximately
II percent quite out of the question and they would not
void the contract
Several months later the company appeared before
Public Utilities Commission of Ohio and was granted an
increase in rae-but not for the villages of Caldwell
Dexter City The commission ruled that existing con-
Residents of Bronze Heights those Playground road
and all others in rural communities OF Noble county, ser
viced by this company are paying the ncreaseapprox
matey II percent
Two weeks ago in paid advertisement, the Permian
Oil and Gas company told the people of Caldwell that the
council would not cooperate and they he counci were
effect placing themselves above the law They had again
refused to consider breaking the contract
The council retaated with advertisement OF their
and pointed to the people of Caldwell that the
company question not rendering the service should
and they had done little if anything to correct situation
of not having any gas when it was most needed
The council also asked the people of Caldwell for their
opinion might be expressed in letter. Mayor Homer
johnson indicated today that many nave been received
lower rate and more gas supply
Permlan Indicated that
going to continue the fight when they mailed out
letters to all their in this territory reads in
part, ,G5 as follows:
Gil of Caldwell;
Our company approached council asking for an
increase rates because the stuaton to gasgsupp
and expenses of operating since we made this
ordinance; 4,
but local producers many instances have refused to sell
to because cannot purchase the entire production of
their wells twelve months out of each year; -
Consequently, we have had to seek gas elsewhere,
which twice much local gas and for which
we have to pay minimum charge in the summer whether
we use it or not; ,
cooperate and assist us in getting summer load the people
in Caldwell would benefit because would derive
peakload;
Please be assured that have done everything we
obtain sufficient gas supply for and in spite Of
the way have been treated by your governing body
expect to keep trying to supply you insofar our
finances will permit, but could give you much better
service if could have increase in rates;
IF you want good service-whch means plenty of gas
when you need it-then please that your council
cooperates with in giving the increase
The letter is signed by the Perman Oil and Gas
office in Marietta.
But is no longer fight between the and
consumers still of represented by the council
Almost without exception the people have indicated that
they are standing ousquare behind the village council in
They are buckng high percent increase in rates and
minutes until the gas situation comes up
In telephone conversation with local attorney, the
Public Utilities Commission OF ONO that there
ason why the people of Caldwell could not be serviced
~ the Ohio Fuel Gas company of Cambrdge-if they were
pctitioned
1t understood that this movement is under way
and petitions being prepared to submit to the commission
asking that they be changed from the Marietta to the Cam
bridge company
1t is said that genlemens agreement exists between
the two companies in that they will not infringe the
territory or customer of the other
But this agreement it is said would have bearing
the the people of Caldwell wanted to be serviced
by the Ohio Fuel Gas company
The fight now in its battling stages. AS the weeks
ensue it will probably grow bitter.
But there will be no let up this time until the rate
question been settled and for ALL At least for
several years.
Council members say they will fight to the last ditch
and the Perman Oil and Gas company has indicated they
will do much.
1t will grow in interest and Importance for about 1000
customers and approximately 5000 people involved