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099978 1 (1976-01-15)

handle is hein.gao/gaobadxsh0001 and id is 1 raw text is: 

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                                   FOR RELEASE ON DELIVERY
                                   EXPECTED 2 P.M. EST
                                   THURSDAY, JANUARY 15, 1976

                   STATEMENT OF                       LM099978
                PHILLIP S. HUGHES
ASSISTANT COMPTROLLER GENERAL OF THE UNITED STATES
       ON THE IMPLICATIONS OF DEREGULATING
             THE PRICE OF NATURAL GAS
   BEFORE THE SUBCOMMITTEE ON ENERGY AND POWER,
   COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE
             HOUSE OF REPRESENTATIVES


Mr. Chairman and Members of the Subcommittee:
     The General Accounting Office has recently completed a study,

initiated at the request of the Chairman, House Committee on Government

Operations, on the implications of deregulating the price of natural

gas. We welcome the opportunity to discuss the results of our work

with this Subcommittee.
     Our study explores the energy supply, economic, social, and environ-

mental implications of deregulation from 1975 to 1985.
     Before outlining the results of our analysis, I want to point out

that most of the effects we describe as occurring under deregulation
could also occur under continued regulation if interstate prices were
allowed to rise to intrastate market levels. I emphasize this-because

under present circumstances the crucial variable is price, not the system

through which the price is derived.


UNITED STATES GENERAL ACCOUNTING OFFICE
        WASHINGTON, D.C. 20548


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