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4525543
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Ford Press Releases - Fuel, 1971
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4525543
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document
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Ford Press Releases - Fuel, 1971
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Gerald R. Ford Congressional Papers
Press Releases Subject Files
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Natural gas
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1971-05-31
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1971
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1971-05-01
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1971
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The original documents are located in Box D8, folder "Ford Press Releases - Fuel, 1971" of
the Ford Congressional Papers: Press Secretary and Speech File at the Gerald R. Ford
Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. The Council donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Office
HOUSE
NEWS
REPUBLICAN
CONFERENCE
1618 LONGWORTH HOUSE OFFICE BUILDING, WASHINGTON, D.C. 20515 202/225-5107
JOHN B. ANDERSON, M.C. (ILL.)
CHAIRMAN
FOR. RELEASE: SUNDAY
Contact: Mike Hathaway
May 30, 1971
202/225-5107
TASK FORCE LOOKS AT GAS
The House Republican Task Force on Energy and Resources, investigating the
critical problems of fuel shortages and price increases, has received information con-
cerning the shortage of natural gas and other fuels,
After a full day of meetings, the Task Force released information received from
Barney Clarke, President of the Columbia Gas System, Inc., who told of a "monumental"
energy crisis facing the U.S., particularly in the area of diminishing natural gas re-
serves. Mr. Charles A. Robinson, Jr., Staff Counsel for the National Rural Electric
Cooperative Association, met with the Task Force also, and presented a study on possible
artificial restraints in the fuels industry.
One of the primary topics of interest in the morning session was Alaskan natural
gas, from which Mr. Clarke said that his corporation alone is looking for a possible
'six trillion cubic feet" of supply for future years. Due to the almost pollution-free
characteristics of natural gas, it has become one of the most sought-after fuels for
electric power generation, particularly in concentrated urban areas. Mr. Clark described
the rising demand for the fuel, and the large sums of money, nearly a half a billion
dollars, which Columbia Gas is investing to assure a future supply outside of the "lower
48" states.
An unusual sidelight which evolved during the questioning concerned Alaskan
natural gas being shipped to Tokyo. Japan has some of the strictest air pollution control
standards in the world, according to government sources, and natural gas is highly prized
in the capital city. At present, the Alaskan gas is liquified at a U.S. owned refinery
in Alaska and shipped in specially-designed Japanese tankers directly to Tokyo, while at
the same time West Coast regions, such as Southern California, are experiencing diffi-
culties in obtaining gas supplies. Existing legislation prohibits the Japanese tankers
from unloading at U.S. ports, however. Columbia Gas is to ship liquified natural gas
(LNG) from Algeria to a new facility to be built on the Chesapeake Bay.
The afternoon session centered on a study ordered by NRECA, together with the
American Public Power Association, concerning possible artificial restraints in the fuel
industry. The report, titled "Artificial Restraints on Basic Energy Sources," was dis-
cussed by the Staff Counsel for NRECA, with particular emphasis on the formation of
energy companies": that is, corporations which own oil, natural gas, coal, and uranium ore
During his statement, the rural electric co-op representative submitted a letter from
Miles W. Kirkpatrick, Chairman of the Federal Trade Commission, to Congressman Joe Evins
(D-Tenn), describing the extensive investigation proposed by the FTC in the Southern
Louisiana case. Mr. Robinson expressed the concerns of the rural electric cooperatives
that fuel prices reflect fuel costs plus reasonable profits. In particular, he mentioned
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Digitized from Box D8 of The Ford Congressional Papers: Press Secretary and Speech File at the Gerald R. Ford Presidential Library
Continued
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that some co-ops experienced a 100% increase in coal costs in 1970.
In summarizing the hearings, Task Force Chairman McClure said, "This is the type
of problem which has to be resolved. We have heard information on fuel availability
and cost, but there is a definite need for more facts."
"In the weeks ahead," continued Mr. McClure, "the Task Force will continue to in-
vestigate these and other critical questions, so that we will be able to make de-
tailed recommendations for a national program on energy and fuels."
The Task Force membership broadly represents the United States, with Bill Archer
(Tex.), Donald G. Brotzman (Colo.), John Buchanan (Ala.), John J. Duncan (Tenn.),
Craig Hosmer (Calif.), Hastings Keith (Mass.), Sherman P. Lloyd (Utah), Manuel Lujan
(N.Mex.), James D. (Mike) McKevitt (Colo.), Clarence E. Miller (Ohio), M. G. (Gene)
Snyder (Ky.), Robert H. Steele (Conn.), William C. Wampler (Va.), Charles E. Wiggins
(Calif.), and Roger H. Zion (Ind.). as members. Michael D. Hathaway serves as Task
Force Director.
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