COMMONWEALTH SHIPS.

Press, Volume LIX, Issue 17808, 6 July 1923, Page 9

COMMONWEALTH SHIPS.

HUGE LOSSES ON WORKING. THE GOVERNMENT'S POLICY. (by cabm—press AssoaA-nojt—torntiasrr.* 'AcsTrauAX axb s.r. cmu: *ss«.uei>j*J MELBOURNE, July p. The Prime Minister, M» i>. M. Brcc-.?, in moving the second reading of tlw Commonwealth Shipping Lice Bill, said that the net less on the Hae ;» IP2I-22 was £1,171.570. la the estimated less wai £l.tKCy&>, t£« net loss for the- whole period of the existence of the line being £*2 t 63,".75L The losses during the past twc» year? hud, been due to the general ahimp it shipping throughout the worlds t& the unsuitability of some of the Cosiner.wealth ships for Australian purposes., and to the high rates of ustenwt asi depreciation due to the heavy capital cost. The lino would be handled over :a the Australian Commonwealth Shipping Board, which would be authorised to dispose of the vessels unsuitable for the Australian trade. It was proposed also to write- dawu the value of the ships from £I2,7tJtMSJJ to £4,718,150 —a depreciation of moce than £8,000,000. The debate was adjourned. "BAY" LINERS RETAINED. OTHER VESSELS TO BE SOLD. Although the Prima Xiiiusto {Ms Bruce) and other members of tit* Federal Cabinet are opposed to Goverment trading, it has beea decided by the Ministry to continue the Cojaiaea* wealth lino of steamers. This important decision has beea reached folSOTring interviews between the geaes&l ' manager of the line (Mr Larkin) aad Mr Bruce. Mr Larkiu, it is understate!* was able to prove to Mr Bra-r« -Xb&i the "Bay", liners by themselves w«u# a paying venture, and that tfca losfieA on the Commonwealth shipping eaterprise in recent years have beea broaghS about by the fact that foraer enemy steamers and also a large ruuebdr ttif cargo vessels have beea oat of WBft* mission for some time. The decision of the Ministry to dsc~ jtinuo tho Commonwealth lime Hjtafcftsi. I only to the "Bay" liaersu All tfes ! other vessels will, it is believed, ls« <E»posed of, and one or two offer* haw already been received for their purchase.* The headquarters of the lira. It is expected, will be traasforrrf Xroaa London to Australia, sad the fatvxe. control of the vessels vested is a bb&jrd, which, in addition, will &dmis*&r fttt . the other shipping activities of She Commonwealth, including the Cwfcste* Island dockyards. In deciding to retain t!be "Bay** linors the Federal Cabinet iww. it h believed, influenced by authoritative statements that the contiteaßce <as Government competition in shipfisif was an important factor ia frsifhit*. and, also, that if tho vessel* were «&$ they would in all probability be; $M to the Australian trade. TV refrigerating apace' on the steamers w*s» is* was also pointed out, of great vaISW in tho conveyance of piiiaffiry p:re<lw:t» to Great Britain, and tho <■ tion for passengers was e«eali*l«F *®r immigration. The Coantxy ?SS*y «**« bers of the Cabinet, in parttatttar, ww oonvinced of .the necessity for ««- tinuing tho line in view of Os«*» MK* meuts. although they did aafc ftil tk*»selves' bound by the resolatiem et *&*■ party conference in Sydsey Aay<pe»tfe* the shipping enterprise. The Mfatttart decided that the veatur* a3so&!4 to* given an'opportunity of jwjbg by ** . detention or only the "Bay" liwdrs. The original! eost of the wmh vtih be written down considerably ijo «*»&«• it conform approximately ta "samai values of tonnage. \, As was expected, says »« H«l----bourne "Argus" of May Uih t t** Cabinet is agreed, as part of its gpmwt shipping policy, on the wo:iUga»atb» of the activities at Cockatoo ssad[Jimden Islands. Cockatoo ialwJßi w2l Jwcome the only Conuaoawaslth building yard in Australia* 8»3 ftft naval vessels and ifte' "Buy** law* will bo docked there for re|«Jis. I***merly, Garden Island was a. na*a3 **» pair establishment, but uadur &• K«w arrangement all the Workshop* tHH Hhk transferred to Cockatoo, and the «*• tabliahmenfc- at Garden Island witt he 1 retained only in the nature- cf a sSflff*.