CITY'S POWER SUPPLY.

Press, Volume LXIX, Issue 20910, 18 July 1933, Page 16

CITY'S POWER SUPPLY.

COST OF UNDERTAKING

RESULT OF YEAR'S 'WORKING

Revenue earned by the Municipal Electricity Department during the year ended March 31, 1933, totalled £207,819, as against £219,884 for the previous year, a decrease of £12,065, according to the annual report of the department presented to the Christchurch City Council last evening. The revenue exceeded the total cost of the undertaking by £16,104, this balance, from the operating accouni., representing less than 2J per cent, on the capital invested in the undertaking. The capital outlay of the undertaking in 1933 was shown at £790,584, as compared with £789,332 the previous year. Operating costs totalled £61,427 as against £52,687, the cost of current remaining almost stationary at £83,000. Total revenue adjusted from exact meter readings dropped from £214,644 to £206,868, the gross balance for the year being reduced from £32,712 to £16,104 on this calculation. The units purchased in 1932-33 totalled 57,016,042, as against 54,934,719 the previous year, and the units sold 50,453,090, as compared with 49,100,557, the loss per cent, being 11.5 units last year and 10.6 in 1931-32. Working Unit Cost. In 1932-33 the working cost a unit sold was .687 d, as compared with .664 d the previous year, the revenue a unit sold amounting to .988 d, as against 1.074 d the year before. Total costs a unit sold in 1932-33 were -912 d and in 1931-32 .914 d. Revenue from domestic "supply fell from £96,800 to £BB,OOO, but the average cost to the consumer also fell from 1.02 d a unit to .903 d a unit. This, it was stated, was very definite evidence of the reduction in domestic supply rates, which constituted a distinct benefit to consumers.

Commercial supply revenue in

creased from £62,800 to £64,700, 1 but the average cost to the con- • sumer had fallen from 2.3d to 2.07 d a unit, this again indicating the decreasing cost to consumers. Under the heading of industrial supply, revenue had fallen from £41,300 to £37,500. This was probably the section most influenced by the present difficult times, but even in this group the average cost to the consumer had fallen from .83d to .818 d a unit. "In other words," said the general manager of the department, Mr E. Hitchcock, in his report, "despite influences which might well have resulted in a higher average cost, the average price a unit paid by the consumer has been steadily falling over a period of years in all three groups of supply." Maximum Load Decrease. "The revenue of £207,819 shows a marked decrease from that of last year," said Mr Hitchcock. "The maximum load of 14,082 kilowatts is also an unusual decrease on that of last year, due largely to exceptionally fine weather conditions during the winter load period. This is the most pronounced drop in the annual maximum load in the history of the undertaking. The units sold show a small increase, but one that is encouraging under present conditions. Working expenses show an increase, but include special reconstruction of the main converter station in Armagh street, for increasing the resistance of the structure to possible earthquake stresses. "The decline in revenue is pronounced. It no doubt reflects both the rate reductions and the fact that the difficult times have prevented the compensating increase of business that might have been hoped for. The close observation of revenue month by month, with a view to observing the results of reduced •rates, has necessitated, in several cases, a readjustment of revenue to the exact meter reading periods. "The number of ranges installed has increased by 216, from 4173 to 4389, and the number of water heaters by 207, from 4481 to 4688. The electrical supply undertaking shows a balance from the operating account of £16,104 3s lid. The trading branches show a loss on the year's working of £7B 7s.

Satisfactory Loading-. "A high degree of reliability characterised the supply from Lake Coleridge during the year. There was .only one interruption of any seriousness. On December 15 at 10.6 a.m. transmission line trouble near the power house resulted in an interruption of 16 minutes' duration. Apart from this, the four other interruptions which occurred were only of about one minute duration.- The department's own plant was satisfactorily free from any serious interruption. Two cases of a flashover, caused in each instance by a mouse, affected individual substations in each instance for a brief period. A transformer failure on September 11 in Armagh street substation resulted in a threequarter hour interruption restricted to the locality served by the substation. The council's steam standby plant was not operated during the year. "It is satisfactory to report that the test room continues to receive for overhaul, repair, and calibration, testing instruments from supply authorities in all parts of New Zealand. There were 1523 service meters tested in the test room, and 6373 meters tested in consumers' premises during the year. Meters installed numbered 1283, and meters replaced 985. New consumers throughout the year averaged 53 a month. The highest in one month was 72 in March, 1933, as compared with an average of 66 and a maximum of 95 the previous year. "The converter station plant has grown from the original steam installation and direct current plant, through various stages, including rotary converters, synchronous condenser, street lighting and local substation plant, to the present 11,000 volt iron-clad switchgear and remote control switch-board, and the supervisory control equipment for the operation of Milton street. All these extensions have been continued to be housed in the original brick building erected in 1903 arid extended in 19J4. The 11,000 volt supply incoming from the Public Works Department and outgoing to the various' substations has its control centred in this Armagh street building. Earthquake Resistance. "Recent New Zealand experiences of earthquake emphasised the need for the reconstruction of the building. The council approved of the Continued in last column* _

Rvl recommendation that it be ; _. reconstructed in ferro-concretft, work was entrusted to Mesirjfham and Sons, and carried *** tween May, 1932, and F 1933. The plant was main* satisfactory operation th the reconstruction, and the „ unquestionably a very much degree of security. The coal;] building reconstruction wan, "The facilities provide 1 * n the Electrical Supply Em Act, for the purchase of ■„ equipment and installations,:, special value under present tions. The number of loans to date has been 2423, anr to £71,398/ The close of the year ended 1* 1933, was as follows:—An loan £ 4360; number of loanf loans issued during year 39; ? | repaid during year 118. .', •; "In the department's demon tion room, cooking demonstt were, with brief exceptions, j twice a week throughout the* Individual demonstrations in sumers' own homes were .' when requested, particularly cases of newly purchased eL ranges. An attendance of 200? recorded at the, special dC tion of Christmas cooking, * feature of this branch of the. was a series of demonstration!? special cookery for invalids.' Retail Costs Fall. During the last few years,/ Hitchcock added, the departmt retail supply rates had been jduced on a number of oceftj By applying the reduction in case to the units sold during previous year, the following 3 the amounts by which it was mated that the revenue re" was less than that which have been received had the *■ tions not been made:—l 927, •£' , 1929, £13,278; 1930, £7862;, 1«1 £12,832; 1932, £13,354. [ a P This represented a total in W* 1 A. 4.1 _» A Mi AJD MM \ in the last six years of These reductions and the ■prtWSp rates, together with their tofojeapl on rates elsewhere in New Zesmmk constituted an effectriye tribute;J§g; the endeavours of the electt committee to reduce to the » sumer the cost of electrical '«8$$ ; ; ply. The influence upon iw of these reductions, the pre«»Ms effects, and the probable futurej*gf'| suits, had all been fully ana|J~ " and discussed in reports submi from time to time to the elecf ' committee. __S - "The destructor continues to Opep ate satisfactorily, far beyond w: rated capacity," Mr Hitchcock sawf, "The number of loads of refused* ; stroyed during the year was SUlm This is the highest amount yet l*f - costing £4B, were used during_t£i year to assist the burning of retoft "Attention has been drawn «* for the design of structures to w mg. Its 150 ft bnck constructed in 1903 and never aw"!: repaired, is in close pros the reconstructed converter The whole setting and details are stances and constitute a bility of very considerable gWPw !i|