MOTOR SERVICES PURCHASED

Press, Volume LXXII, Issue 21805, 10 June 1936, Page 9

MOTOR SERVICES PURCHASED

ACQUIRED BY RAILWAY DEPARTMENT

SOUTH ISLAND TOURIST ROUTE (PHJtBS ASSOCIATION TELDOBAM.) WELLINGTON, June 9. The Minister for Railways (the Hon. D. G. Sullivan) announced to-day that the Railways Department had taken over two additional passenger road services in the South Island.

They are Hunter’s D.O.T. Motors, Ltd., operating between Dunedin and Oamaru, Dunedin and Timaru. and Oamaru and Kurow. The other is the Mount Cook Tourist Company’s Eglinton Valley passenger service, operating on the Lumsden, Manapouri, Te Anau, Eglinton Valley route. Mr Sullivan’s statement says that the purchase of these service effects further valuable co-ordination of road services under single ownership. From the public aspect, it is satisfactory to know that while the price paid in each instance has reasonably recompensed the vendors, the department’s estimates show that after full allowance has been made to cover cost and depreciation, both services can be run to supply the best modern standards of comfort and convenience, and, at the same time, provide a reasonable return on the investment. The D.O.T. service taken over includes stock and garage plant and assets. The Eglinton Valley service includes licenses, garage and plant at numsden, seven vehicles, and Cascade Camp with plant and equipment. The Minister says it is important to bear in mind that the whole cost of opening up the territory beyond Te Anau to Milford Sound, which u ex-

cluaively a national park, has been incurred by the Government on behalf of the people, who are entitled to financial and other benefits arising out of the development of the area and the handling of transport requirements by this national transport concern, with all its resources and equipment