TRANSPORT BOARD

Press, Volume LXXXVIII, Issue 26723, 6 May 1952, Page 8

TRANSPORT BOARD

Working Loss Of £109,156

RECORD REVENUE REPORTED

Several suggestions for improving the financial position of the Christchurch Transport Board were made yesterday when the finance committee's annual report was under discussion, at a meeting of the board. Some of the suggestions included concentrated reductions in expenses, reductions in mileages, extra work for staff during slack periods and a possible increase in fares. A record revenue was reported, but with a loss of more than £lOO,OOO for the year's working

The over-all position was better than it was last year, but was not altogether satisfactory He hoped that when the estimates for next year were .arrived at there would be no increase in rates, said the chairman (Mr F. L. Brandt). The loss of 2.250.000 passengers during the year was very disturbing. “Just how we can get them back on our transport system requires careful consideration," he said. It was hoped that after the modernisation scheme was working a greater use would be made of ‘he modern transport. An increase had been shown in the number of passengers using the Fendalton-Opawa service and it was hoped that increases would be shown on other routes when the new buses were in use, Mr Brandt said.

“The only bright part of the report is the first sentence which says there has been an all-time record in revenue.” said Mr C. C. Holland. The revenue was four-fifths of the expenses. "Even if some fairy godmother waved a wand and left us free of interest we would still show a loss.” Mi Holland said. There were three courses open to the board. One was to see if it was possible to reduce expenses. A report from the management, dealt with in committee, had stated that certain economies had been effected and others were to be effected, he said.

“When we see that the system js running as efficiently and economically as possible, passengers should be asked to pay more,” said Mr Holland. Some serious attempt should be made to see that the passengers paid more towards the cost, at least more than four-fifths. If it was found that the public was not prepared to support the system there was nothing left but to reduce the mileage. A Very Grave Situation The loss of more than £lOO.OOO on the year's working created a very grave situation, said Mr B. G. Brown. As Mr Holland had said, there was a record revenue, but if the system was given free it could still not show a profit. “The board cannot sit here and hope for a miracle,” Mi Brown said. The board was at the crossroads of swinging over to a new transport system, and as the buses reached Christchurch the new system would gradually encourage people back to the transport. If the public was directly interested in the system instead of indirectly, and were shareholders in the firm, they ■would scrap the whole system and settle down to running the first three sections and say good luck to the rest, Mr Brown said. “This would be unthinkable. We should be able to look after those in the first section as well as those in the eighth or ninth,” he said. He felt that the rate must be held until the changeover, which would take a few years, was made. Mr Brown said he did not blame people for not using some of the board’s vehicles. “Instead of paying to ride in some of the old vehicles, passengers should be paid to ride in them,” he said. More Offices Advocated

“I contend that the offices of the board should be moved to Moorhouse avenue as soon as possible,” said Mr G. D. Griffiths. The executive staff was at present separate from the mechanical staff. “We are also paying staff to sit down and do nothing,” he said, referring to the board’s need to make savings. It was necessary that some way should be found to create work for drivers throughout the day in the slack periods. The men could be used in keeping their vehicles clean, whereas the board was paying for cleaning by casual staff. Buses were also on the road in the slack periods, and were not paying their way, he said.

it was only fair that the board should inform the public of the true position of affairs on the board, said Mr T. M. Charters. An increase in fares should be approached from the angle of passengers carried rather than from the revenue derived. Christchurch was different topographically from any other citv in New Zealand. Conditions did not exist elsewhere to the same extent, and the board should examine the situation thoroughly before an increase was made. There was definitely a - limit to the extent to which fares could be increased. “I am definitely opposed to an increase in fares on trams and buses until every avenue has been investigated.” said Mr J. R. Smith. A tour of the board's property recently had revealed things which would not be tolerated in a private business, he said- . - ~ A committee consisting of himself and Messrs Holland and Smith had been set up to investigate fares and other matters, said Mr Brandt. Two meetings had been held, and they would report to the board shortly.

Increase in Revenue Revenue for the year had increased by £C0,714, which was a record, said the report of the finance committee. The increase was completely offset by the 15 per cent, increase in wages which came into operation in February last year, and had operated for the whole of the financial year. The deficiency for the year amounted to £109.156. an improvement of £2432 on the previous year. x . Operating expenses were detailed as follows with last year’s figures in parenthesis:—traffic, £276.583 (£251.971): general. £48.618 (£48.247): repairs and maintenance. £106,448 £90.068: power and fuel. £47,515 (£55.847) The total showed an increase of £33,031 on last year’s figures Standing charges were shown at £106,988 compared with £111,737 last year. A total of 25,039.812 passengers was carried this year, compared with 27,265,157. and the mileages run were 4,278,699 this year and 4.276.076 last year. The number of passengers carried showed a decrease of 8.2 per cent, and the mileage run an increase of .1 per cent