The Oklahoma City Times

REBATE ATTACKED BY NATURAL GAS FIRM IN COURT

Local Corporation Doesn't Own Fuel, Says Ames.

MUST PAY BILLS IN FULL

Consumers Get No Immediate Reduction in Charge

Patrons of the Oklahoma Gas & Electric company will have to pay their December and January gas bills in full and look to a decision of the supreme court for rebates, as the result of an appeal from the recent order of the corporation commission, taken today by the Oklahoma Natural Gas company.

C. B. Ames, attorney for the Oklahoma Natural Gas company, filed notice of the appeal with the corporation commission today and asked that a supersedeas bond be fixed. The commission fixed the appeal bond at $30,000, which will assure the rebates as fixed by the corporation commission in case the order of the commission providing for discounts as a result of inadequate service is affirmed.

Low Pressure Caused Order.

The order of the commission in which a system of rebates was provided on the basis of pressure gauges for certain districts was made as a result of cases brought by Charles B. Selby, county attorney, Charles H. Ruth and others. It was shown in these cases that gas service was inadequate in December and January and that the gas pressure was abnormally low, especially on the coldest days in these months.

As a result of the showing made in the case the commission ruled four-ounce pressure the lowest that would be considered adequate service and figured discounts on a basis of the number of hours that pressure was below four ounces in given districts of the city.

Local Firm Not Affected.

"We are filing the appeal in the case because it is our gas that is involved," said Mr. Ames after completing the appeal. "The Oklahoma Gas & Electric company has said that it would not appeal but the local company is not involved as is the Oklahoma Natural Gas company, for the local company does not own the gas on which it is proposed to give rebates, but acts merely as a distributing company."

Mr. Ames revealed, probably for the first time, the arrangement that exists between the local company and the Oklahoma Natural. He said that the Oklahoma Natural receives two-thirds of the receipts from the sale of gas for domestic purposes in Oklahoma City and three fourths of the receipts from the sale of gas for manufacturing purposes.

How Money Is Divided.

"For gas delivered at the city gates the Oklahoma Natural received last year an average of 87.3 cents a thousand cubic feet," Mr. Ames said. "We would receive actually 109.2 cents a thousand but for the loss of gas in distribution after it is turned over to the Oklahoma Gas & Electric company. The loss of gas in distribution is about 25 percent in Oklahoma City.

In prosecuting its appeal the Oklahoma Natural Gas company will assert that it was not responsible for the low pressure on which the discounts were figured, it was intimated by Mr. Ames. He said that at no time during the winter was gas delivered to the gates of

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REBATE ATTACKED BY NATURAL GAS FIRM IN COURT

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Oklahoma City by the Oklahoma Natural at a pressure less than eight pounds.

Denies Molinard Story.

Testimony of W. R. Molinard of the Oklahoma Gas & Electric company last week before the corporation commission to the effect that Morrison gas now being used in Oklahoma City contains only 758 British thermal units was refuted today by Mr. Ames.

"We have made tests of the gas at the Morrison wells and the lowest analysis was 932 British thermal units," Mr. Ames said. "The results of the tests ranged upward to 962 units. A test made Saturday in Oklahoma City of gas received here showed it to contain 906 British thermal units, the higher figures being explained by the fact that some Cushing gas is mixed with the Morrison gas when it arrives here. There is no doubt in my mind but what Mr. Molinard was in error in the test that he made which showed the gas to contain only 758 heat units. This was the first test that Mr. Molinard ever made and there is every reason to believe that he made a mistake in his analysis."