RAILWAY POLICY.

Auckland Star, Volume LX, Issue 208, 3 September 1929, Page 17

RAILWAY POLICY.

LONDON COMMENT. REPLY BY PRIME MINISTER. "NEW LINES" NOT CONTEMPLATED. (By Telegraph.—Press Association.) WELLINGTON, Monday. "I notice in. the cable news reference to an article in the "Financial News" on the position of the Railways, apparently arising out of the discussion that has been taking place in New Zealand concerning what is commonly referred to as tlje South Island Main Trunk," said the Prime Minister, Sir Joseph Ward, to-day. "I have not seen the full text of the article referred to, but it appears to have been written under a misapprehension as to the facts. The Government is not going to embark on the construction of any new lines, but merely proposes to complete existing trunk lines, and it is essential in the interests of the Dominion that the main lines should be completed as soon as possible. The financial position of the railways generally is admittedly not satisfactory at present, but this is due to motor competition, a difficulty that is by no means confined to New Zealand. . "As stated in the Budget, the Government proposes to take prompt action to remedy matters, and when short branch lines have bden dealt with and some measure of co-ordination has been obtained between road and transport, I feel sure that the trunk railways as a whole will earn full interest on their cost. It cannot be gainsaid that the railways must be the backbone of the transport system, and obviously the trunk lines must be finished before it will be possible to obtain a complete, unified transport system, based on co-ordination between road and rail transport."