Lethbridge Herald, The (Newspaper) - January 13, 1972, Lethbridge, Alberta
The letkbridge Herald VOL. LXV _ No. 27 LETHBBIDGE, ALBERTA, THURSDAY, JANUARY 13, 1972 PRICE NOT OVER 10 CENTS TWO SECTIONS-24 PAGES j Gas formula important to Alberta OTTAWA (CP) The difference between 25 I A4 land 30 x Al amounts to billions of dollars western Canada's natural gas industry could obtain over the next 20 years. 25 x A4 is a formula used by the National Energy Board in estimating what natural gas- should be re- served for Canadian needs before exports are permit- ted. Tile estimated requirements of the fourth year from the present are multiplied by 25. But the Alberta energy conservation board multi- plies Al contracted requirements for the coming by 30 to determine what reserves should be kept for Alberta use. In November, the energy board rejected applica- tions to export trillion cubic feet of Alberta gas, valued at 51 billion. Its formula then snowed a 1.1-trillion-cubic-foot shortage, although the board said it was confident the .shortage would be made up through development of new gas fields. Protest decision Alberta and the western gas industry protested the decision, saying the board was keeping too much gas tied up The 25 x A4 formula now may play a crucial role in determining the outcome of an application to export more than billion of ethane and propane to the energy-hungry U.S. Alberta issued a nine-page brief Wednesday at the board hearings, calling for drastic revision of the board's formula. "Using A4 as a base year involves guessing what circumstances will be four years the brief said, adding that such a guess would be impossible. A common western accusation during the last ex- port hearings was that the Ontario gas major Canadian gas exaggerating their estimates of fourth-year needs. Forecast growth The utilities countered with for tire growth of the Canadian gas market and hints that the gas producers were too optimistic in their estimates of how much new gas would be found. The Alberta brief says eastern gas utilities had contracted for 21 times their 1971 requirements by last June, leaving the western producer with an additional 9.7 trillion cubic feet of gas that had to stay in the ground to meet die requirements of 25 x A4. The brief also says there is no other busi- ness "where the producer of the product is forced, if he wishes to sell in an export market, at his own cost to maintain a huge surplus reserve against the possible future but uncontracted requirements of the retailer." If the 25 x A4 requirement is continued, the brief says, Alberta could eventually end up with 20 per cent bf its gas reserves sitting unsold in the trillion cubic feet. Suggests range While strongly urging the use of Al, the Alberta said it does not want to name any spe- cific multiplier, but suggests 20 to 25. Tied in with the formula controversy is the pos- sibility of vast gas discoveries in the Arctic. The energy board has not included arctic gas in its estimates of reserves because such gas has not yet been proven to be there in large enough amounts to justify the massive cost of building facilities to carry it to market. If arctic gas is proved economic, another new dimension will have to be added to the formula. Dismemberment of Canada contemplated LONDON (CP) The Daily Telegraph suggests in a report today that moderate Canadians are for the first time seriously contemplating the dismemberment of Canada. An analysis by writer Richard Beeston says that the Canadian government's plan to screen foreign invest- ment and ownership is "like trying to dose the door when the horse, or a very large percentage of it, is already out of the stable." Beeston says the question of Canada's independence Is topical because of the leak of the Canadian govern- ment's report on foreign ownership which indicated that Canada has practically sold itself to U.S. inves- tors. "The whole issue of Canada's independence is being questioned as never he writes. While Canadians are among the world's most pros- perous people, (hey ara still unable to define them- selves or predict their future, says Beeston, adding that Prime Minister Trudcau Is perhaps the one man who can keep an Independent Canada on Uw tightrope "despite thei forces of French separatism uid econo- mic dependence on America." Beeston that many Canadians on the West Const would accept joining up with the U.S., but he Uinl Uie U.S. Is big enough nnd might prefer "lo continue to exploit Canada economically" without inheriting unpredlcUble ropcadbUlUet. HIJACKER IN CUSTODY This man, identified by (he FBI as Billy Eugene Hurst, 23, of Mesquite, Tex., was taken into custody after he hijacked a Brtanlff International 727 jet and held seven crew members hostage for over Wednesday. Hurst, armed with a .22 calibre gun, commandeered the jat on a flight from Houston to Dallas. He was captured when police and FBI agents rushed into the perked plane at Dallas after the hbstages had been removed. The FBI mid he would be charged with air piracy and interference with a flight crew. Herald's Cup of Milk campaign books closed The Lethbridge H e r a 1 d's Cup of'Milk Fond has con- tinued to climb. The J15.000 objective was reached three weeks ago. The campaign appeals were ended. South Albertans, generous beyond our hopes, were not ready to stop contributing. The contributions have kept coming and today the fund stands at above the goal. Now we must close the books and send the money to the Unitarian Service Com- mittee, 56 Sparks Street, Ottawa. Every dollar sent will buy 45 cups of milk for the refugees of Bangladesh. And now, our final thank you this year for your won- derful support is warmly of- fered. And we take this opportun- ity lo correct an error. One donation came to us "in me- mory of our little girl, Card- ston." We're sorry we didn't get it right the first time and hope this will set things right. Loyal friends of the USC can continue to donate to the headquarters at 56 Sparks Street, Ottawa, if they so wish. Or will it? Smallwood reign may end today ST. JOHN'S, Nfld. (CP) Premier Joseph Smallwood is e x p e c t e d to teH Newfound- landers, late today if his Liberal government will resign in the face of a Progressive Conserva- tive majority that, was almost destroyed by a misunderstan- ding Wednesday night. Mr. Smallwood planned to Issue a public statement after a midday cabinet meeting and an afternoon gathering of the party caucus. PC Leader Frank Moores and Tom Burgess, New Labrador Parry leader, were re-united as political allies early today after Mr. Mooies accused Mr. Bur- gess of selling out to the Liber- als. Mr. Moores said Wednesday night he had learned that Mr. Burgess would abandon his promised support of the Con- servatives to run for the leader- ship of the Liberal party. Premier Smallwood, 71, plans to retire from politics Feb. 7. come on in. Ofcoursa yau'ft not interrupting trrfthtigt' George Wallace tosses hat in ring TALLAHASSEE, Fla! (AP) George Ci Wallace formally an- nounced today his candidacy for the Democratic presidential nomination and called for a grass-roots movement to wrest control of the party from "so- called intellectual snobs." The 52-year-oW governor of Alabama chose the capital of a large southern state with a key March 14 presidential primary election to make the announce- ment. Wallace, who ran third behind President Nixon and Democrat Hubert H. Humphrey as the American Independent party candidate in 1968, said he in- tended to keep his name on the Florida ballot as a Democratic candidate. Consumer prices jump largest in a decade Airports hit by strike MONTREAL (CP) Major Canadian airports were hit today by a walkout of techni- cians handling vital radar, navi- gational aids and communica- tions. A spokesman for the Interna- tional Brotherhood of Electrical Workers, representing the tech- nicians, said walkouts were known to have taken place at Montreal, Toronto, Ottawa, Win- nipeg, Calgary and "probably Vancouver." The spokesman said union meetings were in progress con- cerning possible, walkouts at Gander, Nfld., Moncton and Quebec City and reports that even smaller airports were being hit "likely" was true. The walkouts took fte form of a 24-hour study session that began here at 1 a.m. EST as a protest over a conciliation board report on contract talks. Denis Boucher, spokesman for the union, said the technicians object to lie conciliation re- port's wage .recommendations and the report's suggestion (hat only 99 per cent of the techni- cians be allowed to strike. He said the strike ceiling for air traffic controllers is 95 per cent, The conciliation report recom- mended a 15-per cent wage in- crease over three years for the technicians. Mr. Boucher said this would do nothing to elimi- nate a situation where techni- cians in Canada earn only 60 per cent of what controllers make. "In the United States and across the. world, technicians make about 80 per cent of what controllers do The union wants the other 20 per cent for its Canadian members, he said. Experienced technicians now earn The recommended increase would lift that to over three years. Air traffic controllers, now earning also are negotiating a new contract. OTTAWA (CP) A sharp increase In food prices, especially for imported fresh vegetables, pushed the consumer price index up last month for the biggest month's gain in a decade, Statistics Canada reported today. The average urban family food basket, that cost before Christmas in 1970, cost month. last Seen and heard About town PUBLIC SCHOOL trustee Dr. Dong McPhersoo commenting that "legwork" could mean any number of things, including working in a chorus line Bob Sea- man filling his cigarette lighter and managing to set his finger afire .Office Bainborongh lobbying for a greenhouse with a swimming pool. FOOD INDEX RISES In percentage terms, the over-all index in December was five per cent higher than it was in December, 1970. A year's gain of two per cent is generally regarded as reasonable price stability, and anything more than that is excessive. Food prices alone were up 7.9 per cent for the year. A large part of this reflects recovery from the unusually low prices which prevailed in the fall of 1970 as the result of a super- market price war. Statistics Canada said last month's price increases were enough to whittle anoflier cent off the purchasing power of the dollar. In terms of 1961 prices, today's dollar was worth only 73 cents in December, compared with 74 cents in November, and 77 cents in December last year. Across the wide range of con- sumer goods and services mea- sured by the index, it cost last month to buy what bought .in December, what bought, on average, in 1961. Along with higher prices, the main contributor to the increase was beef. Apart from foods, the biggest in- creases were in health and per- sonal .care services, with higher charges for men's baircuto lead- Ing the way. The-'over-all index for Decem- ber was 136.3, compared with 135.4 in November god 129.8 in December, 1970. The food index accounts for 27 per cent of the over-all index, and It rose to 135.5 from 133.0 in November and 125.6 in December, 1J70. GOVT. CASTIGATED Opposition spokesman mean- while castigated the govern- ment today for permitting con- sumer prices to take the largest November December leap ui a decade. David Lewis, NDP leader, said the increase in the con- sume price index to 136.3 in December from 135.4 in No- vember and 129.8 a year ear- lier "demonstrates the bank- ruptcy of government policy." George Hees, former Conser- vative trade minister, said the government should immediate- ly set new wage and price guidelines and tell manage- ment and labor that if 'they were not observed, the govern- ment would introduce manda- tory wage and price controls. An official of the federal gov- ernment's prices and incomes commission s a i d it was the commission's long standing practice not to comment on monthly price fluctuations, but the index figures released to- day serious. PREMIER coup victim Ghana chief falls LAGOS, Nigeria (Reuter) An army-civilian group seized power in Ghana early today and Prime Minister Kofi Busia, cur- rently in London, was dismissed from office. A Ghana radio announcement by a senior army officer said the situation was under control and urged the people to remain calm. News of the coup came from Lt.-Col. Mike Achampong, senior career officer who was a regional administrator for some time after the 1966 army take- over in Ghana. AWAY FOR TREATMENT Busia flew to London Tuesday for medical treatment. He bad been expected back in Accra Friday. Achampong charged him with malpractice, economic misman- agement and arbitrary arrests which he said had-characterized the regime of former Ghana leader Kwame Nkrumah. There has been mounting ten- sion and criticism for time of restrictive measures in thr former British West African .colony. Some critics of the gov- ernment have been detained by Busia's group. The coup comes only days after President Nixon's wife Pat made a goodwill visit to Ghana. She met with Busia there. Prison guards unhappy over shoulder flashes TOM BURGESS Mr. In-bctwccn The Conservatives "won 21 seals in the Oct. 28 provincial election, the Liberals 20 and Mr. Burgess was returned in Labra- dor West. Brokerage firms on carpet to explain no-cash deals NEW YORK (AP) Repre- sentatives of six brokerage houses go before the New York Stock Exchange begin- ning today to explain how x 19-year-old college student purchased worth of stock by telephone without putting up i ptmv in cith. _, "I'd call them up and say 1 was interested in starting an Abraham H. Treff laid Wednesday In Philidel- phta, his home. "They would ask a few questions and I would ask few and the account VQUn D6 CfHQ." OTTAWA (CP) Most fed- eral penitentiary workers, some scuffling their boots in frustra- tion, will put shoulder flashes _ Paki- stan severed diplomatic ties today with Poland, Bulgaria and Mongolia In rclnlialion for Ihnir recognition of (ho new ricsh government in Dacca, Radio PaUsUn reported. workers were given five days to sew on the flashes and a furore ensued, followed by the vote. Mr. McNeely wrote Solicitor- General Jean-Pierre Coyer, Mr. Faguy and all prison union lo- cals outlining the Joyceville objections to "enforced biliu- gualism." Later the Joycevilli workers said they were prepared to refuse to wear the flashes if other locals backed them up. But out of 34 federal prisons, guards in only ter in New Brunswick, Stoney Mountain In Manitoba, and Brit- ish Columbia Penitentiary in New Westminster-expressed any support. The local at Drumheller, Alta., wrote Mr. McNeely that It was loo small a matter to lake stand on. The 'didn't reply. Hijacking hearing date confirmed CALGARY (CP) The pre- liminary hearing of Paul Jo- seph Cini, facing seven charges following the hijacking of an Air Canada jet last year, today- was confirmed for Jan. 20 In provincial court. Four of the charges carry I maximum penalty of life Im- prisonment. Cini, 27, of Calgary was found mentally fit to stand trial after a 30 day examination in the Alberta Hospital at Ponoka late last year. Cinl's counsel has elected trail by judge and jury on each of the charges. Cini was charged after Flight S12 was hijnckcd Nov. 12 from Vancouver to Toronto while the DC-n was between Calgary aid Regina, The event Included two land- ings it Great Falls, Mont., be- fore the hijacker was overpow- ered by some of the Aircraft crew M K returned to Ctlfiry.