__inguiry called into oil

i suit
ent is
Bad out ve crude oll

fant winter, ee as ae
rts from Tran were halted
the revolution. =:

An investigation by, Tha,

Associated reas haa '
revealed tha
unnoticed and sHll unex-

plained fall in domestic
production together with
changes in U.S. refinery

operations cost the United =

States’ more gasoline than
the widely blamed cutback
in Tranlay imparts.

Government ‘sources. 5a)
justice department anti-trust
lawyers will send a report to
- President, Carter by Wed-
nesday asking for more time
to examine the domestic
production downturn, the
refinery changes and several
other factors that con-
tributed to the gasoline
shortage.

One source said that so far.

the investigators have found
no evidence that anti-trust

‘law was violated but: added

that the 30 days-Carter gave

Y° them when he ordered the

study “‘is barely enough time
to get out of bed on thia
thing.”

The report to Carter will
do little more than list areas
the’ team wants to in-
vestigate further — a task
one source said might take
more than six months.

In its five-week in-

. vestigation, The Associated

Press found: i

—The cutoff of Iranian oil
meant @ loss of at least 17.5
rnilllon barrels of gasoline
that otherwise could have
gone. into motorists tanks.

—At the same time, the
drop in U.S. -production
caused a loss of at least 11.
million barrels of gasoline.

—Another 11.5 million
barrels of gasoline was
never produced, because
domestic .Fetineries were

squeezing leas gasoline than
usual and more heating cil,
jet fuel and petrochemicals

“aut of each ‘barrel ofcride

ail,

‘From last December
through the spring of this

- year, those three factors

account for about 40 million
barrels of gasoline which did
not reach service stations,

A variety of explanations
for the shortage emerged

from interviews with dozens:

of oll company executives

and industry analysts,
Energy department ex-
perta said they only recently
noticed the domestic crude
il drop, the sharpest since
1971, but could not explain it.

“It has declined and then
picked back up and it's
Strange,” sald department
analyst Frank Verrastro. "It
may possibly be due to some -
withholding,’’ added
Verrastro who later stressed
that this guess is un-
supported by evidence.

The Herald, Monday, June 25, 1970, Page 5

Oll company executives
unanimously’ denied they
had deliberately de
domeatic production.

Sources acknowledged the
justice department is
checking the possibility that
companies decreased
domestic preduction in
anticipation of decontrol of
crude oil prices this month.
Under this theory, they may
have hoped to get higher
prices and io discourage
opposition o decontrol by

production drop

aggravating a shortage that
they could claim would have

been prevented with price :

incentives.

One government source
sald that even a deliberate
decision to depress domestic
production. might not be a
Violation of antitrust law.
“Creating long gasoline lines
may well be contrary to

‘ many notions of good public

policy,” the source said,
“but it is not the
anticompetitive action the
law forbids.”

Industrial leaders meet for energy talks

‘TOKYO (AP) — US.

President Carter arrived:

Sunday to meet with Prime’
Minister
leaders of five other major
industrial countries. seeking
solutions to the energy crisis,

which Carter described as -

“the moat burning issue of
‘our time,’”

" ‘The criats that has resulted
in long gasoline lines in the

Job creation.

Clark and the.

United States and which
threatens
recession will be the
dominant topic . at. the
economic summit con-
ference Carter and - Clark
will attend with the leaders
of ‘Britain, Japan, France,
Germany and Italy.

The summit
begins Thursda:

One administration official
travelling with Carter said

a worldwide:

program soon.

" OTTAWA (CP) — Em.
ployment jalntster Ron
Atkey says be hopes to an-
founce a new job creation
policy this week that will
entice the private sector to

"make work for thousands of

unemployed
especially youth
However, wile taternents
prey gi en
_ about “new directions in job
. ereation,’” officials are

Canadians,

Cinerva the Progressive

ment's policy with some.
Unkering, such as renaming
existing programs. They say

there is ‘no money for

dramatic changes. .
And | iy
privately that  Atkey
wouldn't dare abolish direct
creation programs su

as Canada Works — as
promined ty Prime irupaign 2
Cla 8 campaign
— because some politicians

" enunt on the grants to atay in
the good graces of many con-
stituents. Canada Works

_ grants are allocated on a
‘constituency basis with MPs
having a say in who gets how

much money for ‘what .

projects.

Pmhatis a matter very
' puch under review," Atkey
sald. in an interview,

Statistics
are.on the

increase

To find out - about
. behaviour outside the
residence, Statistics Canada
traced the imaginary urban
dweller through hospital
wards, encounters with
police into unemployment:
ingurance, grocery slore and
alrport lineups and through
other dally activities,

From police files, the
agency discovered that in
1971 there were 72 traffic
‘fatalities — 25 Involving
‘pedestrians and three in-
volving cyclists.

Almost 200,000 parking
tickets were glven out:
although | the agency did not

M4 into how many went’ to
;

lomats who, because of
thelr diplomatic immualty,

are privileged to ignore such ©

official summonses.

There were more than
2,000 reports of missing
persons, three-quarters of
them juveniles... Pollce
located 99 per cent of the
juveniles | and 92 per cent of
the adults.

The book sells for $4.50 and
Statistics Canada says com-
parable information is
avallable on atleast 15 urban
eentres - although not
collected in any single

blication. The Guide to

rban Data was simply a
demonstration project ta
show what information was
available.

Two facts not contained in
the Ottawa profile; Statistics
Canada, with- an annual
budget of $125 million,

some™ | MPs: payia

suggesting that a decision on :

abolishing the . $194-milllon
Canada Works and related
multi-million ‘dollar’ grant
programs may be postponed.

Officials say that another

program Clark promised to
abolish, “called. FLIP
(Federal. Labor . ginenuive

. Program),

scrapped “by” ihe “former

government. many months - .

before'the 'canipaign.'

Atkéy said his government |“

has reservations about such
grant programs because
they provide only temporary
jobs. He wants the new
policy to emphasize in-
centives to the private
sector, such as tax credits
and wage subsidies, more

extensively than Liberals |

allowed.

opin this respect I'm I'm

$ nce,” Atk said.’ “Tin
A oye ‘that
sector will be a good and
productive partner. I hope
they won't let me dewn,”

He said the policy will “in- |

dicatesome rather favorable
developments in” private
tor job creation. That’s
one area where we hope to
have some dramatic
achievements.”

He cited plans to combine
and “beef up substantially’
three existing programs
which provide subsidies .to
employera rather ‘than
grants (9 community
organizations or individuals

who come up with project
Ideas

Ironically, one of the three
programs -- Employment
Tax Credit” waa con-
tinually criticized by his
Conservative colleagues in
the last Parliament when

were in Opposition.
Lineoin Alexandar,. now
minister of labor, was the
toughest critic, saying the.
program was a dismal
failure.

However, Atkey BAYS the
complaints are outdated and
employers now are taking
the bait— a tax deduction of
up to $2 an hour for each new
employee sat fear of sly

pe B @radua
diminished.

The other two programs he
wants to expand are Job Ex-
perience Training, providing
wage subsidies to employers
hiring recent school
graduates or quitters, and
Job Exploration by Students,
providing wage subsidies for
Potential high school ‘arop-

Officials say the three pro-
grams combined cost the
federal government this
year $173 million in spending
and lost tax revenue to
create 88,392 jobs lasting a
maximum six months, ;

A central feature of the
new policy is to be a Youth
Employment Secretariat,
dubbed “MUCK — more
employment under Clark’? —
by former prime minister
Pierre arudenu during the
campa

Ofticinis suggest it will
basically be the’ existing
Youth Employment Branch
under a Conservative cloak.
Atkey deseribea it as
“building to some extént on
existing pre rams."

Clark sald he would not
spend any more money than
the Liberals’ estimated $600
million annually on youth

loys 4,500 — 200 of them. eprograms under the new

with the specific job of.
promoting Statistics
Canada.

secretarlat and could even
save $5.5 milllon by tight-
ening administration.

bi M ivate ‘

solutions that emerge to deal
with the energy crisis

probably will not do much to .
. ease the

present Hight supply
situation in inthe US. -

The official, who asked not
to be identified, told
reporters the combination of
rising oll
shortages has made the
industrial counfries “like
men on death row — they
have a common problem.”

‘Officials said. Carter will
enter the summit expecting
the industrial countries to

‘ develop a joint approach ie

| tee resolve me energy
possibly through a
decision to hold their oil
imports to current levels for

vices and oil ©

“five years, This would keep
oil in short supply for at least
the near future.

“This whole thing is going
to be a bust unless they come
out of ‘the summit with
specific courses of action,”
said one official,

Before the summit, Carter
will confer extensively with
Japanese Prime Minister
Masayoshi Ohira and other
Japanese leaders, ‘

Carter is expected to press
the Japanese to increake
efforts to resettle refugees
from Vietnam.

The tour officially begins
today when Carter is
welcomed formally by
Emperor Hirohito, 78, who

has reigned since 1926,
‘The president arrived

Sunday night and was:

greeted at Haneda Airport
by ay Eoreign Minister Sunao

S Recarity has been ex-

tremely tight, with 25,000
Japanese pollee on duty for
the week’s meetings,

Crowds were discouraged

from forming along the 20- -

kilometre route from the
airport to the home of U.S,

Ambassador Mike Man-.

sield

Six demonstrations at-
tracted about 5,000 leltists «
and other opponents of -

Carter's Asian tour, They did
not interfere with the

president's arrival. ’

On Wednesday, Carter will
fly by helicopter to Shimada,
8 port city of 32,000 about 160
kilometres southwest of
Tokyo, for a meeting with a
cross-section of Japanese
citizens, |

After the summit con-
ference, Carter will spend 43
hours in South Korea and
then visit Hawall for the July
4th holiday before returning
to Washington July 5:

OTTAWA (CP) — Prime
Minister Clark, External
Affairs Minister Flora
MacDonald and Finance
Minister John Crosbie: left

Sunday for the Tokyo eco-
nomic summit. Clark is to
have meetings with several

world leaders in Tokyo
before the summit meeting
begins Thuraday, .

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