NEW RAILWAYS.

Auckland Star, Volume LXI, Issue 198, 22 August 1930, Page 9

NEW RAILWAYS.

LOSSES EXPECTED.

OVER £737,000 A YEAR.

COSTLY CONSTRUCTION.

NAPIER-GISBORNE LINE MAY

LOSE £283,000 ANNUALLY.

OFFICIAL FIGURES IN HOUSE,

(By Telegraph.—Parliamentary Reporter.)

WELLINGTON, this day,

A total annual loss of £737,553 is estimated to result from the .operation of the seven railway lines at present under construction in various parts of New Zealand, according to a summary presented in the House of Representatives this afternoon by the Prime Minister, the Hon. G. W. Forbes, in accordance with his promise to the Right Hon. J. G. Ooates. The summary contains also details of the estimated annual revenue, expenditure, operating loss, and interest charges.

The estimated annual reyenue and expenditure of the seven lines is given in the following table:—

A Comparison. Lines . under construction and lines open for traffic.are compared as follows: New Open Lines. Lines. ' £ £ Average cost per mile (exclusive of rolling stock 39,840 14,100 Interest charges per mile.. 1,993 610 Operating earnings per milo 790 2,274 Operating expenses per mile 93G 2,083 Net operating earnings per mile 146* 191 Net loss per mile 2,13S 419 * Loss. North Auckland Main Trunk. The estimated capital cost of the Okaihau-Rangiahua extension, 14 miles 19.chains, of the North Auckland Main Trunk railway is shown as - £680,000, or an average per mile of £48,184. "The expenditure to June 30 last was £576,869 This,line an extension of to Okaihau (24.miles, ;42 chains). It 'is constructed through ■ sthe most treacherous piece of country on which railway construction has been undertaken in New Zealand. The major earthworks are nearing completion/ and it is thought that the worst slip movements have been overcome. The rails hav been- laid for ten miles. The, line may be expected to give operating results "very similar to the Otiria-Okaihau section. , Dargaville Branch. The summary shows at £510,000, or a total per mile of £29,143, the estimated capital cost of the final section of the ,- Kirikopuni-Dargaville line, 17 miles .40 chains. The expenditure to June 30 was £377,408. This is the uncompleted portion, of the Waiotira-Dargaville line, the estimated annual loss on which is £87,000, and will be tile, connecting Jink between the Kailiu section and North Island main lines. The Tango wahine section (10'£ miles) is practically complete, and goods traffic is being conveyed over it. On the Dargaville section (7:j- miles) formation is complete for 5J miles, and platelaying for two miles. Four bridges have yet to be built.

Napier-Gisborne Railway. The estimated capital cost of the Eskdale-Gisborrie ' section (120 miles 39 chains) of the Napier-Gisborne railway is. £4,871,000, or a total per mile of £40,427. The expenditure to June 30 was £2,998,904. The capital cost is apportioned as follows: — Gisborne-Waikokopu, £1,898.000, or £53,465 per mile. Waikokopu-Wairoa, £635,000, ,or £25,683 per mile. / Wairoa-Eskdale, £2,338,000, or £35,797 per mile. Nine .miles of the formation has been completed, together with a considerable amount of preliminary work, including tunnels for watercourses, culverts, stream-diversions, camps, and access roads. Traffic has been carried on the. railway between Waikokopu Harbour and Wairoa for the <past six years. Work is now proceeding on the Waikokopu breakwater. The line between Eskdale and Putorino (262 miles) is just about ready for Traffic has been carried over this section for some time past.- Between Putorino and Wairoa (33 miles) formation work has been completed for all but two miles, which should be finished in about six months. Two large viaducts have yet to be built, one of which (Mauugaturanga) will be completed in fifteen months, and the other (Mohaka) about 15 months later. These works are, the chief factor in the completion of the line, which should therefore be ready for opening from Putorino to Wairoa iu about two years and a half.

Stratford Main Trunk. Tho summary 'estimates at £2,259,000, or a total per mile of £54,434,. the capital cost of the Okahukura-Tahora section (41 miles 40 chains) of the Strafcfoid Main Trunk railway. The expenditure to June 30 was £1,707,580. The Okahukura-Tahora section is the final link in the Stratford-Main Trunk connection, and at the western end 3 miles; 30 chains, between Tahora and Tangarakau, should be ready for opening about January, 1931. Of the remaining 4 miles. 50 chains at the western end, 50 per cent is,tunnel. Two tunnels have been completed, the third is more than ihalf done, and the fourth and last tunnel has the bottom heading well under way. Only about 20 chains of formation 'has still to be done at the eastern end (334 miles). The line has been completed between Okahukura ana Ohura (19 miles 10 chains), and traffic has been carried over it by the Public Works Department for some time. Beyond Ohura the rails have been lai for 3| miles. Thero are five tomnels,

aggregating 95 chains in length, of which 46 chains have been completed. The formation has also been completed, except for about 70 chains of heavy work. Several bridges have yet to fee built. A considerable proportion of the traffic, now carried via Marton between the Main Trunk line and stations north of Wanganui, will be diverted to the new and shorter route, resulting in a substantial loss of revenue, which will, however, be set off largely by reduced haulage costs and by any additional traffic that may be developed. On this basis the loss will be equivalent to the cost of working the new line, plus interest charges on capital cost. South Island Trunk. The estimated capital cost of the Wliaranui-Parnassus section (76 miles) of tho South Island Main Trunk railway is £2,581,000, or a total per mile of £33,961. The expenditure to June 30 was £193,631. At the northern end four miles of formation were completed several years ago. An additional eight miles is now in progress and arrangements are being made to start work on the 27 chain tunnel under the Hawkswood saddle. At the southern end the formation is in hand for four miles. The permanent line has been surveyed for about ;30 miles south of Wharanui, and for about ten miles north of Parnassus. The estimated revenue is based on the assumption that 60,000 passengers per annum will travel between Wellington and Christchurch by the new route, in preference to the Wellington-Lytteltpn route. In estimating expenditure due, allowance has been made for additional passenger traffic between Picton and Blenheim and between Parnassus and Christchurch.

Westport-Inangahua. . The estimated capital cost of the Westport-Inangahua railway (26 miles) is shown as £877,000, or a total per mile of £33,731. The expenditure to June '30 was £373,395. This line will connect the Westport section with the South Island Main Trunk lines. The line is completed between Westport and Cascade station (nine miles) and traffic is being-carried by the Public Works Department. Beyond Cascade the formation is in hand for 12 miles, of which six and a half miles have been completed. Rails have been laid for 75 chains beyond Cascade. Bush felling and clearing have been done well ahead of the formation. At the Inangahua end work has been started on the formation between Inangahua. and the Buller River. Bores have been put down, to obtain information regarding the foundations of the bridge over the Buller River. • • , " , ; v . -Midland-Railway. *.. ; «• ■ The summary states that' -the estimated capital cost o:' thej-Kawatiri-Tnangaliua; section", (46 "miles 43 chains) of the Midland railway is £1,853,000, or a total per mile-of £39)817. The expenditure, to June 30 was.. £157y560., This section' will, \Vhen completed, link up the Nelson section ; with " .lie South Island main lines. , The line is .practically completed between Kawatiri and Gowan (three miles 73 chains).. Beyond' Gowan the formation is in hand for eight miles, of which four and a half miles have been completed. The survey of a permanent line is completed for 12 miles ahead of the formation Work. s " x .

Expen- Operating Interest Total' Railway. Miles. Revenue. diture. Loss. Charges. Loss. £ £ £ £ £ Okaihau-Ranguihua 15 7,000 8,000 1,000 34,000 35.000 Kirikopuni-Dargaville IS 9,000 10,170 1,170 25,500 26,670 Gisborne-Eskdale 121 C0,87G 100,459 39.083 243,550. 283,133 Okabukura-Taliora ........ 42 — 39,700 39,700 112,950 152,650 South Island Main Trunk .. 76 112,300 77,140 35,160* 135,160 100,000 Westport-Inangahua 26 43,000 36,000 7,000* 43.850 36,850 K Kawatiri-Inangaliua 47 38.200 48,800 10,600 92,650 103,250 345 270,376 320,269 49,893 687.660 737,553 V.... v *I-'rofit.