THE TRAMWAYS.

Auckland Star, Issue 123, 24 May 1919, Page 6

THE TRAMWAYS.

The City Council yesterday took the definite step, which under the circumstances had become inevitable, of deciding to purchase the Auckland Tramway Company's property, subject to the approval of the ratepayers. Before coming to this decision, the Council asked Mr William Ferguson, of Wellington, an engineer whose name and work are known throughout the Dominion, to report whether the Council would be justified in purchasing at the price and on the terms set out in the option. It was necessary, before the Council should finally decide to purchase, [ that' it should have an expert opinion on the condition of the tramway system as a working concern. Mr Ferguson begins by saying that the earnings of the undertaking in the past have been ample to provide for the interest on the debentures which will be issued if the Council takes it over, and goes on to consider the value of the assets. It is his opinion, after a careful inspection, that the system has been well maintained and that its condition quite warrants the Council in paying £1,180,000 for it, which will be approximately the total amount of the purchase money. The weakest part of the system, according to Mr Ferguson, is the power station, which, though it does its work well, is not of modern design. He anticipates that within "a very few years hydro-electric power must become available for working the tram services," and that the present station would then be a useful reserve to be used in an

emergency. It may be pointed out, however, that no date can be assigned to the completion of a hydro-electric scheme that would provide current for Auckland trams, and it would be interesting • to know whether, in the meantime, the j power-station, as at present equipped, : will suffice for the extensions that the ' people of Auckland will expect the j Council to put in hand soon, if it takes j over the system; and if it will not! suffice, what approximate amount of ] money will have to be spent on it. We ; draw attention to this in a spirit of

inquiry, not of criticism. It now remains for the ratepayers of the city to sanction the issue of debentures for the purchase of the system. They are not likely to refuse. The advantages of public ownership of such a public utility are plain to everybody, and Mr. Ferguson's report is an assurance that good value will be given for the debentures issued. The question, however, i 3 complicated by tiie fact that the city is taking over a system of transportation that benefits outside districts as well as the city, and will extend to other districts as time goes on. We have no information yet as to the exact manner in which the tramways are to be controlled, except that the present manager is to be retained for five years, a decision which will be approved of by the citizens. We presume that the City Council, being responsible for the purchase money, means to control the system, but we are not sure whether this would be the best permanent method to adopt, seeing that there are extensive and widening interests in the trams outside the city. The alternative to City Council control would be the establishment of a Tramway Board on the lmea of the elective body which manages the Christchurch system. Attention should be given to this question as soon as possible.