NEW RAILWAY TARIFF.

Auckland Star, Volume LVI, Issue 192, 15 August 1925, Page 17

NEW RAILWAY TARIFF.

FREIGHT ON. COAX.

" HIRURANGI PENALISED. V • .._'.'.' (Fi-om Our .Own 'Cbrrespondent.> y\ WHANGAREIv Thursday. , At. last night's meeiing ngarei Chamber of Commerce.; a letter was received from Mr. H. Gilfillan, secretary, of the Hlkurahgi : ; l Coa:l , 'Cbmpjiny, pointing out the eeriouV-' consequences that would ensue to the company should the'-proposed increased railway, tariff on cjoal be enforced. ".- .:]'' ". .: ,~ .':.'.■

Mr. W. R. J. Moody, local.agent for the company, explained that the support of the chamber, was sought, as the prospect was not hopeful for the company" to carry on- in competition.with qther companies.". The coal industry •iyas.a big factor in the prosperity of. th'c district,, and its■ cessation., would, be :a ; bigdrawback. The"c'omr}ariy ; employed : 1,68', men: at Hikurangi 'and ,paid' dut £52,000tahnualiy, that is, f 1000 per \veek. "Ap. present £8955 was -paid ,m_; freight-to the.; 'Railway Deparlmeriti £1800 to the Whangarei Harbour Board, and £337 in royalties. Most of ithis was spent locally.. In addition, rates ahd taxes ran into,£7so. If the imposition of the extra freight caused-the company to' close down, as it .must be remembered -that they had. fun at a loss last year, the! community Would suffer, the. Railway - Department would suffer, ahd the Harbour Board would suffer in loss of dues. With the imposition -of 9d extra perton on-the present amount paid in freight.the company w, puldlose anextra amount of £2250 per, annum. This might mean that the company would not ..be- in a;poeitlion.to carry along oh a profitable basis. This would be a disaster, to the .district. The present price of Hikurangi icoal delivered to Auckland was 34/ per ton, Westport 36/. It could easily .be Seen that Westport coal at 38/ per ton would be a better proposition than 'Hikurangi at 34/9.

If coal was sent from Hikurangi to Tauranga the. present . rate' of ' 3/10 •would, appertain, but if sent to Auckland only 9d per ton would be; added to [the' freight. For any coal outside of Auckland the rate "was not imposed. I ,Mr. Crane- moved, and Mr. Ba'gley seconded: "That the Whangarei.Chamher of Commerce strongly protests against the action ■ ,of the Railway Ipepartment . in" increasing railage on <coal' by .'Sd-jper. ton-froin /Warorto .One--rahi " . » - ■I j=sftjgthe .ehsuipg' cliscussion"one member thought '1 thej -letter?' from .the Hikurangi Cojal; Company was very vague; and it was..not fair to, ask the chamber to adjudicate. At 'a recent meeting it, was understood'from Mr. Burns, Whangarei railway that the increase>vojuid",be 7d per ton. To?day they had tea'd that ty per "ton- was to be added to native - soft ioal. tipi to. twelve miles, and graduated over longer distances. As it was'lß;,miles from Hikurangi to 6nerahi, the .real increase might be 1/1 or J/2.per,ton. That.would make the position relatively .wo.rse.

; that the northern coal was a lignite, while Westport was bituminous. Hikurangi was a light Coal, there, was a keen demand b e a ver y Bm& \\ margin'-.rbetween .Hikurangi arid Westport anything "was added to Hiku■»ngj- """•; ,;•■*":' f -THe fact, that the railway returns had showed that the Whangarei line for a long lime had been the second best paying .one. in the Dominion, was proof ■enough' that the Railway ; Department -had. charged enough on railway freights, ■a.B"--.;a large amount of the revenue had been, derived-from coal;' 1 It was an imposition to. increase charges.. on coal to balance losses in other directions. The increase was not .warranted. iOri-beirig. put the motion was'carried unanimously..