NATIONALISATION

Auckland Star, Volume LXVII, Issue 66, 18 March 1936, Page 11

NATIONALISATION

POWER UNDERTAKINGS

GOVERNMENT'S PROPOSAL. REDUCED CHARGES LIKELY. (By Telegraph.—Press Association.) INVERCARGILL, Tuesday. The ultimate nationalisation of the electric supply undertakings in New Zealand was foreshadowed by the Minister of Public Works, the Hon. R. Semple,- who spoke on the subject at a conference which he and the Minister of Finance, the Hon. W. Nash, had with members of the Southland Electric Power Board to-day. Mr. Semple's remarks were made after the board's decision to reject the Government's offer to take over the scheme and sell power to the board had been made known to the Ministers.

"I am exceedingly sorry that the board has not accepted one of the two proposals, both of which, in my own view, were very liberal," said Mr. Semple. "These offers cannot be macle again. We have these troubles all over New Zealand, and we are determined to. put the electrical undertakings in this country on a sound footing.

"We have £14,000,00 of the people's money invested in them, and that cannot be endangered. Yet' efforts are frequently made by local bodies and others to undermine State enterprises, and there is ruinous and, unnecessary competition in several areas, with people paying twice for the fame service offered by competing interests. Of this we do not approve; it is wasteful and uneconomic; there is needless duplication, ruinous overhead, wastage and constant overlapping. "We shall have ultimately to consider taking over the whole supply of electric energy and managing it on a national basis, with the double purpose of protecting the money invested by the people in their own State undertakings and reducing the charges for current, so that the poorest may have the use of it. That is our ultimate aim, and I am satisfied that we cannot achieve it under the present system. "In the proccss your scheme must sooner or later come in with the rest. You will not again have an offer such as we are making to-day, and its acceptance must work out to the advantage of the consumers in this locality.

"This problem of nationalisation is one which must be tackled some day to save the people from themselves. No Government could allow such suicidal tactics as those at present adopted to continue, without an effort to make an improvement, and this Government will make that effort—to nationalise distribution and cut down costs. I cannot see any way to do this, cxcept by making the supply and 6ale of electricity a national monopoly. It will take time, a number of years, and we may not complete it, but we shall start."

RATEPAYERS TO DECIDE.

DECISION IN SOUTHLAND. (By Telegraph.—Press Association.) INVERCARGILL, Tuesday. After a conference with the Minister of Public Works, the Hon. R.* Sample, and the Minister of Finance, the Hon. W. Nash, the Southland Power Board to-day decided to taHe a referendum of ratepayers on the Government's proposal to take over the whole of the Monowai hydro-electric power scheme, on the basis of liabilities and assets. If it is carried, this means that the land rate will disappear. Mr. Nash left for Wellington by aeroplane at noon.