Evening star., 1955-03-05
IVUIHPuHI IGD
|0f Savings in
|Gas Storage
Expluins Request for
Power to Condemn
Underground Coves
By Gene Goodwin
Ster sseH Correspondent

OnoeT9rouno SoVeS
By Gene Goodwin
ster ssefi cerrsspsndsnt
ANNAPOLIS, Mar. S.-The
Washington Gas Light Co. yes
terday painted q picture Of
substantial savings for its Gus
toners and possible tax bo-
nanza for Prince Georges
County, If the Maryland Legis-
lature allows it to condemn land
for underground gas storage.
Howard B. Noyes, senior vice
president Of the utility, told a
joint Senate-House Judiciary
subcommittee that a vast storage
reservoir would have saved his
company about $3.5 million last
year in the cost Of piping natural
gas from Charleston. w. Va.
That's q saving Of about Is
per cent. he said, which would
be passed on to Washington area
gas customers under public util-
ity laws restricting his firms
margin Of profit.
Options Taken.
Exploratory drillings on pro-
posed underground gas reservoir
in the Brandywine section of
Prince Georges County have
been encouraging. Mr.. Noyes
said, and the company has
started taking options on pur-
chase of underground rights on
a site of about $500 acres.
If the reservoir is established
there, he said. expenditure of
from IS million to $40 million in
taxable property would be in
volved." The facilities, such as
pipes and pumping stations, and
the stored gas itself would clas-
sify as personal property and
would be subject to the county
inventory tax.
Prince Georges County legisla-
tors, incidentally. are pushing a
bill through the Legislature now
to reduce the inventory tax by 40
per cent in their county to make
it uniform with Montgomery and
the District.
The bill heard yesterday was
introduced by Senators Edward
S. Northrop of Montgomery and
H. Winship Wheatley. jr.. of
Prince Georges, both Democrats.
1t would give gas storage COM
panies, such as Washington Gas
Light. the right to condemn
strata of land more than 500 feet
below the surface for the pur-
pose Of storing gas.
: Affects Only Strata.
The condemnation would be
only for the actual strata of rock
in which the gas would be stored.
Gas storage companies can
establish such underground
reservoirs now if they are able
to buy all the land involved.
The options Washington Gas
Light is acquiring in Prince
Georges. Mr.. Noyes said, are for
the purchase of the. storage
strata alone at SIS an acre.
A small delegation from the
area in which Mr.. Noyes' firm
proposes to put its underground
facility urged defeat of the bill.
Edward ]. Smith of Rosaryville
said the property-owners of the
section want no part of this
gashouse district"
Judge Nita S. Hinman Crane
Of Upper Marlboro Police Court
accused the gas company of
high pressuring" people into
signing options. She said the
legislators have an obligation
to protect little people who
cant afford litigation"
Concern Expressed.
Some members of the sub
committee - chiefly Senators
North of Talbot, Friend of Gar
rett and Dean of Queen Annes-
expressed concern about grant,
ing a utility condemnation pow
ers when it still is exploring for
underground sites.
Without condemnation pow
ers," Mr.. Noyes said, "it would
take several years for us to
acquire all the underground
rights for a storage facility" He
said. in the Prince Georges and
Montgomery suburbs, 1t would
be an almost impossible under
taking to find the owners Of
every single piece of property in
the 5000 to 1000 acres that
would be needed.
Attorney Richard Emory, one
Of two big-name lawyers repre-
senting Washington Gas Light
on this bill, told the subcom-
mittee the question involved in
the bill is whether the under
ground reservoirs are in the
public interest. If they are, he
said. condemnation is justified.
Power in Some State.
Seventeen States now have
underground gas reservoirs,
eight of them allowing powers
of condemnation to gas storage
companies.
Also representing the Wash.
ington utility is l.. Harold
Sothoron, former Democratic
State Senator from Prince
Georges.
Joseph T. Singewald, jr., di-
rector Of the State Department
Of Geology. Mines and Water
Resources, told the subcommit-
tee the bill would not impair
the availability of ground water
supplies. In the five Southern
Maryland counties, he said,
there are but SO wells more than
500 feet deep and none in the
area where Washington Gas
Light is making its explorations.
Senate Judiciary Committee
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