BOUGHT BY STATE.

Auckland Star, Volume LXVII, Issue 124, 27 May 1936, Page 11

BOUGHT BY STATE.

MOTOR PASSENGER SERVICE. COMPETITION ELIMINATED. (By Telegraph.—Special to "Star.") WELLINGTON, Tuesday. . An announcement that the Railway Department has completed negotiations for the purchase of a motor service operating between Akaroa and Little River, on the route to Cliristchurch, wa< made by the Minister of Railways, the Hon. D. G. Sullivan, this evening. The _ purchase, said the .Minister, Would eliminate competition among passenger carriers on the route. "The purchase of the service, following on the recent acquisition by the Department of Ramsay's Motors, operating between Cliristchurch and Akaroa, completes the negotiations which have been proceeding for some time between the Department and the vendors, and completes the co-ordination under single ownership of the whole of the licensed passenger ' carrying business between Christ-church and Akaroa by road and rail," said Mr. Sullivan. . "The elimination of the competition on the Chris tch urek-Lit tie River-Akaroit route will undoubtedly be in the public interest, because a more convenient service will be provided to the advantage of the local residents and a financial benefit will accrue to the general taxpayer, as all the services taken over will be profitable in themselves and enable a reduction to be made in railway operating costs. The complete service will be maintained at a standard consistent with the most modern requirements of passenger transport for business and holiday travel. lam pleased to say that these negotiations, as in recent previous transactions of the same kind, have been carried through amicably and with satisfaction to all concerned."