THE RAILWAYS.

Press, Volume LXVI, Issue 20086, 15 November 1930, Page 17

THE RAILWAYS.

RESTORING THE FINANCES. CLOSING OF BRANPH, LINES. [THE PBJE6S Special- B«TTtce>] WELLINGTON, November 14. In addition to considering further increases in. the schedule'rates, the Minister for Railways (the Hon. W. A. - Veitch) is going into the .-.question of giving effect to other recommendations contained in the recent report' of the „ Railway Commission. Replying to a question ■ to-day, Mr. Veitch said the Government had commenced as -soon as the session was over, : i in fact, much was done- before Parlia- > meat was prorogued, to carry out the Commission's recommendations in order to endeavour to restore the financial position with as little delay as possible. Some of the recommendations .had al-, • ready been, put into operational"and others were being considered, v- - "So far as concerns the. proposed closing of branch 'lines recommended by the- Commission," hesaid, "only this week I have - made a number of . de- : cisions, and they- will be made public in due course.- With minor\ alterations mosf of ■ the recommendations with 'respect to branch lines will'be'adopted. Some are being held over- for farther ..consideration." - Asked if it was proposed-- v -to giveeffect to the recommended change of , control, placing the management of the railways under • a board of directors, the Jifinister said the present r constitution - could not be altered withqnt legislation. Meanwhile he was. concentrating ~ on ( strengthening (he finances of the ,system so far as he could. Most of tJie Commission's d i be dealt with without legislation. ' ally," he added, "1 am,working 1 son those immediately and leaving sufeh as .do require legislatioil for consideration' 3>t Cabinet after the Prime Minister-.has returned from England." Revenue Falling Off. - j The railway working account for the first six months of the current financial year shows a decline pf labout '£*loo,ooo net revenue as compared with the corresponding period for last year. Revenue fell by. £169,284, but expenditure wii, curtailed by £69,621, the fignresbeingr.;/! Revenue. -■./ 1929 .. -■ 4,171,603 1930 •- 4,002,31* . Expenditure. ' 1939 ■ 3,903,357 1930 j . 3,833,731 There was a decrease -'of the number of the passengers earned. The motor road services more passengersjfchan for the corresponding period" last yea*", and the combined services thus lost 64*386 sengers. ' • ' * Commenting on the figures to-day, Mx Vmtch said that while the unexpected j. fall in revenue .would undoubtedly^. ; affect the finances of -. the *• ra.Jlwa.ys " the end of the year, ; there* was every reason to believe that thf economies alreadv adopted, amounting ■*» £.150,000, plus those still under eonsid- , cration, "would the Departmcnt to show the reductions, of expenditure; it waß aiming at. Later.-in taey hoped to show better figures than bad been revealed for: the because the economies that were being put into operation would have a fuller effect dnring the remaining months «£ the financial year. •To stop tne _ ufc- • crease in the railway deficit .required , no mean effort, apart altogether from the question of reducing it.- That-had. k been definitely accomplished in the xaee . of the fall in revenuejn the last three months theyJiaa eat expenditure down by £150,000, The general" tra"de depression throughout the country had reduced the revenue yory considerably during the i last. three months, but' there was a feeling that trade conditions were beginning to ixn-., . t prove, and it was reasonable to assume I that railway revenue would get a share of that reaction.