STATE HYDRO DEFICIT

Press, Volume XCVI, Issue 28346, 3 August 1957, Page 14

STATE HYDRO DEFICIT

Loss Of £26,642 For Year (New Zealand Press Association) WELLINGTON, August 2. The State Hydro-electric Department’s revenue account for the year ended March 31, 1957, showed a deficit of £26,642. The annual report, which was tabled in the House of Representatives today, says that it was necessary to transfer money from the reserve fund to meet the deficiency.

Revenue showed an increase of, £437,000 over the previous year, but it was not enough to meet full interest and depreciation in addition to operating expenditure. The expenditure on capital works £17,163,824 was the highest ever. A substantial increase for Mercer steam station and Wairakei, and smaller increases on some other projects was partly offset by the decrease in expenditure due to the taper-ing-off of work at Roxburgh and Whakamaru.

The South Island can look forward to adequate power for years to come, states the report. Supply in the North Island was better than expected during the year because of heavy rain during the ■winter.

Generating capacity increased during the year by 260.000 kilowatts, and construction work progressed on 50 substations and 30 transmission lines. Two new substations were commissioned, and five new transmission lines livened.