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Show Geneva Steel Now Faces:Natural Gas Threat ae ae CHRISTIAN ‘ald Staff Reporter TheEn Environmental! Protection .S. Steel's Geneva mill in Utah County, steelmen The Federal Energy could crementalpricing of natural gas provision — aimed at iecraaeae the cost of natural gas to industrial users, Geneva's general uaa Henry A. Huish, of natural gas, Ropaces bearing) The Energy Lke City conducted the mrestiag Monday. Huish called for re to repeal the incremental pri rate or at ast drop pas implement phase II. Incremental pricing is part of Congress’ NaturalBes Policy = of 1978, said Barbara King, morning thatthe act calls for the deregulation of natural gas pricmf by 1985. King said incremenpricing aims to relieve impact on residential users by moving some of the burden to large industrial users. Large industrialusers nowpay ee less pi for ae gas and pay less unit as ‘their use increases. e is also another price reduction if industrial customers agree (> be an interruptable — one than can be turned off when residential use increases such as during certain cold winter periods. me intent of the incremental ‘ing provision is to shift more the coat por anbere to the industrial user. Phase I of incrementalpricing, that wentinto effect Jan. 1, in- creased prices to industrial boiler facilities only U.S. Steel’s Geneva's reaction to phase I was to convert its boilers at the power house to coal Phase II, said King. will extend incremental price incpeases to all other industrial uses of natural gas. She said the regulatory commission is expected to makeits recommendalions to Congress in May on phase II. y Implementation of phase II, said Huish, will destroy the economic viability of the Geneva plant aud force steelofficials to eliminate natural gas as a fuel source. He said phase II would increase annual natural gas costs $705 mello, sad 0 fed thatif the plant would have not eliminated naturalgas as a boiler fuel energy costs would haveincreased $5 million annually If Geneva eliminated natural gas as a fuel source, said Huish, it would cause a market effect that would increase costs to residential users in Utah. ‘I believe, Geneva is the largest industrial customer of Mountain Fuel and is probably the best load-balancing customer. When we eliminate natural gas, Mountain Fuel won t be ableto sell us large quantitites of gas during the summer months to balance the load with winter months,’’ Huish said. Clyde Heiner, vice president of engineering for Mountain Fuel told the commission at Monday's hearing that it is “‘our opinion that incrementalpricing will be an inmitigated disaster in practice. It will penalize those in- dustries who cannot switch to another ‘-el and through the loss of industria’ customers who form an important role in our load balancing it will ultimately harm residential users. ‘Theloss in the load-balancing system will result in higher Prices to high-priority (residen- tial) customers — the very Customers incremental pricing alleges io protect We fought to eliminate this Provision of the incremental preing from the Natural Gas ‘oticy Act,” said Dale Zabriskie, manager of communications for Mountain Fuel. But he added that apparently they were not unsuccessful He said the mandated target date for phase II to gointo effect in Nov. 1. It mustfirst, however, be approved by Congress 107TH YEAR,NO.148 PROVO, UTAH, TUESDAY,JAN.22, 1980 In the East, he said, the alternative for natural gas users is number two fueloil costing more than natural gas, but in the West, he said, the alternative is cheapercoal.’ Another negative aspect of an enacted incremental pricing provision is that industrial users who cannot convert tv coal must my, the higher natural as prices, riskie said, that will be passed to customers.‘In the end the residential user who is also a consumer will pay,” he said Zabriskie didn’t know how much Genevapaidfor every 1,000 cubic foot of natural gas but he said Interstate Brickin Salt Lake City paid about $1.65 per 1,000 cubic feet of natural gas compared to the residential user who paid $1.9 for the same amount. He said because Geneva is a mee user and is an inte ble source its cost conan would be lower thaninterstate tory ans ‘esman in Washington, DC. She told the Herald in a telephone conversation this Zabriskie said Geneva is now the largest customer since Kennecott switched some ations from natural gas to coal. He also mentioned that those who enacted the incrementalpricing failed to see problems unique to the West. $4.50—MONTH, PRICE 25 CENTS Vote in Utah House Bush, Carter Pull lowa Surprises Favors ‘Sagebrush DES MOINES, Iowa (UPI) — President Carter wihipped Sen. Edward Ken- out of the Republican pack to upset GOPfront-runner Ronald Reagan Mon- nedy 2-to-1 and George Bush jumped day in the opening test of the 1980 presidentialbattle. The stunning results in the Iowa precinct caucuses saw Democrats in Rebellion’ Measure Earlier story on Page 10, By MICHAEL WHITNEY ishLeginete ony (UPI) — The ture today completed the inltial panes’ n'a drive tojoin the 80° called ‘Sagebrush Rebellion.” House members voted 53-9 to allow introduction a a bill which transfer ownership of 42 percent of Utah’s land from the federal Bureau of Land Managementto thestate. The Legislature is holding a budget session, and its rules require approval by two-thirds of the House and before a non-budget item can be introduced. The Senate earlier voted to accept the Sagebrush Rebellion- bill, sponsored by Sen. Ivan Matheson, RCedar City. Rep. Cary Peterson, R-Nephi, recited a string of horror stories Shoat the BLM’s managementof federallyowned range land in Utah. He accused the agency of damming streams,fencing reservoirs, and denying cattlemen access to grazing land. “Tf these types of things are not stop, the BLM will virtually wipe out the livestock business in southern Utah,” Peterson said. . Stephen Holbrook, D-Sait Lake, said he feared thebill would’ give state officials the powerto ‘‘sell Utah to the lowest bidder.” “There is a development mentality in this state,” said Holbrook. ‘We are subdividing, tearing up, plundering and destroying the land we already own. We don’t even think about what we're destroying. We just pes about the money we're mi Tuesday: Marc Wilson Wins State Honor ‘There's a sports aximon that says, “When you're hot, you’re hot,” and BYU quarterback Marc Wilson is hot. The latest honor to come to the BYU passing wizard is named “Utales Sportsman of th rear by the Salt Lake Chamber ofCommece and TV Digest. Wilson will receive that honor at a banquet Wednesday night in Salt Lake City. Story on Page 6. WeberState basketball coach Neil McCarthy talks about his 16th ranked team and that story is on Page 7. Money-Back Auto Sales Idea Liked A money-back guarantee experiement on the: sale of new Chryslers through Utah dealers is ae watched nationally, and eal dications show the idea is impoig sales and boosting the morale salesmen. “This is the best idea a car comy has comeup with in 20 years,” one Chrysler dealer commented. See story on Page 14. Local Tax Bill Concern Explained Dr. Ray Warner, spokesman for Nebo School District, has echoed concerns ofhis district about Utah feoweAssociation's efforts to use Bill 303 part of the Utah oefellowes the taxes limit bill should remain a Legislative law. He believes it has not proved itself yet, because the Legislature passed it only last year. The bill limits the amount taxes state and local governments can levy. See story on page 3. Latest on Soviet, Iran Crises President Carter, in his State of the Union address, stressed the inSeton roblem and the price of ‘arter said persistent inflalon led outa tax cut this year and that the Soviet invasion of Afghanistan hasraised the costs for defense. Carter also reportd today that the United States intends to establishi military presence in the Middle East, even offering to develop a “new and mutually beneficial relationship’ with Iran in the oe In another crisis story, the S. has started flying B-52 bombers over the Indian Ocean and Arabian Sea. These stories are on Page5. Leprosy Victim Tells ‘Fugitive’ Plight ‘There are 15 million lepers in the world oaty and they are still Joa! id feared by the general public. Amerie who came down leprosy says he felt like a faptive and faced prejudice by his fellow workers as well as his employers as he wasfired from one job after an other. His situation is typical one faced by lepers across the country and throughout the world. See story on Page 5. More Smogginess, Fog Expected Fair but smo, weather, including patchy night aereaiend fog, is forecast thro aay for the Central U! bes nara overnight lows near +20, highs Wednesday in the upper 30s, and light winds. Additional Utah weather information on Page 3. See Page 14 for national weather reports. Here’s Where To Find It Amusements Classified Ads Comics Commerce Editorial uu 18-23 15 12 1 National-International Obituaries Soclety Ht itab-Regional 5,14 4 M1 68 10 George Bush shows elation as he wins over Ronald Reagan in Iowa caucuses. Massive numbers rally around the President at a timeof international crises and give Kennedy the first political defeat of his career. The Bush victory over Reagan was narrow, but significant. The Republican race could now become a two-man contest with Sen. Howard Baker and former Gov. John Connally the potential big losers. The first roundin the delegate selection process saw a record turnout of more than 200,000 voters at more than 5,000 precinct caucuses. The vote was double that expected and greater than even the turnout in the 1976 New Hampshire primary. New Hampshire wtbe the first state to hold a primary el Carter’s well-oiled political machine overwhelmned Kennedy. The president’s victory by a more than 2-to-1 margin also had a ‘made in Iran” label. A few months ago Kennedy led 2to-1 in the polls, but the seizure of the hostages in the Tehran embassy led to a decisive turnaround. It was a sweet victory tinged with nostalgia in Iowa for Carter. It was here four years ago that he emerged rity, won the caucus, and . emerged the front-runner.This time he buried the manthe politicians and polIsters once said could take the Democratic nomination away from him for the asking. Bush was a clear winner on the Republican side. Such an early victory could signal Republicans are seeking a new face and are ready to deny Reagan his third bid for the GOP nomination. John Sears, Reagan’s campaign manager,said a truer test will comein the early rimaries where the percen(Pontinued on page 2) Dispute Cited in 128 Air Crash Deaths United Press International A bitter dispute between air traffic controllers and the Islamic government may have contributed to the crash of an Iran Air Boeing727 jetlinerin the snowbound mountains north of Tehran,killing all 128 people aboard, radio and press reports from Tehran said today. Rescuers waded through 2 feet of snow all day and pulled 108 bodies from the smoldering wreckage of Mondaynight's crash. They said the remaining bodies were probably buried under mounting snow drifts. Theplane, with 120 passengers — including four infants — and eight crew members, wason flight from the northeastern city of Mashad to Tehran. Iran Air said two foreigners, described as Soviet technicians, were aboard thejetliner. AnIran Air spokesman said the South Africanborn captain ofthejetliner, identified as Edwards Bennets, reported blind: jing snowstorms obscured his vision of Tehran as he attempted to land, the reports said. “T can see thelights of the city,"’ he quoted Bennets. The radio then went dead. Butthere wereindications bad weather may not have been the only factor in the crash. Several reports focused on a lingering dispute between the Islamic regime and air traffic controllers at Tehran's Mehrabad Airport. The controllers had conducted a work-to-rule slowdown for severaldays beforethe accident, which resulted in cancellations of several domestic flights and many delays the day of the crash. Iran’s official Pars news agencysaid the slowdownended 12 hours before the crash thanksto the mediation by Finance Minister Abol-Hassan Bani Sadr, who interrupted his campaigning for Iran's presidential ‘elections for the talks. Olympics Boycott Call Supported Here By ROD COLLETT Herald Staff Reporter President JimmyCarter’s call for an American boycott of the 1920 Summer Olympics in Moscow received support trom people the Herald interviewed in Orem, Carter said in a news program that a comple boycott of the games by U.S. athletes would “deter aggression and signal to the Soviet people the world’s outrage overthe Russian invasion of Afghanistan.” Ken Burgess from Orem told the Herald that he would support President Carter's decision for a boycott. “Whatit really comes down to is what do people prefer, war or peace,” he said. “The Olympics are meantto be a peace promoting event but when youlook at what Russia has tried to do in Afghanistan, something had to be doneto discourage their ambitions in the world.” Burgess said he would not favor a total cancellation of the Olympics but rather would “like to see it moved to anothercity where the tradition of the event could be maintained.’ “I personally think that what Carter is doing is not mixing politics with sports and whatpeo: ple shouldrealize is that when an athlete goes to the Olympics, he justisn’t representing himselfin athletic competition but the whole country,” he said. An out-of-state resident, Russ Comstock from California, said he favors a total boycott of the 1980 Games. “It’s important that the Soviet Union realizes that they can’t continue to push the United States and other countriesin the world around,” hesaid. “I would not favor a lotal withdrawal by American athletes from the games but it would be best to seekalternatesites for the event. “The Olympics isn’t an individual event as people think because it involves a lot of countries in the world with team competition,"” he said. John Robbins from Orem said he would ‘ ‘generally support the President's decision on the Olympics but would rather see the ingegrity of the sports games upheld.”” Robbins said it is probably hard for people to understand Ken Burgess what an athlete would be feeling aboutthe entire affair. “Tf I were an athlete, I know I couldn't support such a move by the President to keep American athletes away from the games,’ he said. “While mig litics with sports isn't advisable, John Robbins something hasto be done to show the Russians that we believe very strongly in what we say or actually threaten,”’ he pointed out Doug Hadfield from Lehi explained that whilehe doesn’t like the idea of a hoycott he would sup] rt the President. hat we really need in a case suchas this is more support from our allies and when President Carter calls for such a move 1 would think he has more infor(Continued on page 2) |