TRAMWAY DEPRECIATION.

Press, Volume LXVII, Issue 13937, 10 January 1911, Page 8

TRAMWAY DEPRECIATION.

.—* : IS 3 PER CENT SUFFICIENT? "Is 3 per cent, depreciation sufficient to allow on the Christchurch tramway system P" This was the question asked by Mr C. M. Gray at the meeting of the Christchurch Tramway Board yesterday. At previous meetings Mr Gray has strongly contended that sufficient allowance was not made for depreciation, and in order to have the question considered again, he gave notice of motion to rescind the resolution passed in May, 1907, which fixed 3 per cent, as the depreciation allowance. Mr Gray said that he was moving with a view of giving the Finance Committee an opportunity of reviewing the position. It was nearly three years since the matter had been considered. The amount allowed on system at Home was larger than that allowed by the Board. Thes Board's allowance for depreciation was practically only li per cent., the other li per cent, being for renewals. The Board would havo to renew its permanent way and rolling stock twice over before its loan ran out. Ho would like to see the matter dealt with again by the Finance Committee. Mr Booth asked whether it was necessary to rescind the resolution standing on the books before the Finance Committee could consider the matter. The recission of the resolution might be taken as an expression of opinion by the Board that 3 per cent, was too little to allow. The Chairman said that Mr Gray could move that the matter be referred to the Finance Committee, without moving that the previous resolution be rescinded. Mr. Sykes said that he would like to see the question referred to the Works and Traffic Committee. He did not think that 3 per cent, was quite enough. Mr Recce said that the Board could debate the whole question wheu the Finance Committee reported. It would do no good to rescind the previous resolution until the Board had something to put in its place. Mr Gray then obtained leave to withdraw his notice of motion, and. moved that tho question be referred to the Finance Committee to report. ' This was agreed to.