Fuel shortage may affect road spending

Press, Volume CXIII, Issue 33407, 13 December 1973, Page 1

Fuel shortage may affect road spending

(New Zealand Press Association) WELLINGTON, December 12. The oil shortage was likely to disrupt the National Roads Board budget next year, the Minister of Works (Mr Watt) warned the board todav. J

The board adopted a revised budget with an income of $103,335,000 and an expenditure of $105,010,000 for the year ending March 31. 1974.

The Minister, who is chairman of the board, said that restraints on petrol use would cut the board’s income, and fuel shortages might restrict road development.

He suggested the emphasis might be switched frpm road works to bridge building. Reports to the meeting showed bridge building was fal'ing behind schedule. “We cannot tell how we are going to plan, or what money will be available,” Mr Watt said.

Although oil supplies were not as good as the Government would like, there was no need to panic. “We must take one step at a time, and act on the situation as it changes,” Mr Watt said.

He asked the board and other roading authorities for co-operation to meet “a difficult situation.” The board is basing its three-year estimates on the assumption that the present 6 per cent annual growth in income (which comes mainly from petrol tax) will continue. The three-year programme expenditure is: [ State highways: $55,180,000 iin 1974-1975, $55,597,000 in : 1975-1976, and $54,002,000 in 1976-1977. County roads: $24,870,000 in 1974-1975. $24,910,000 in 1975- and $24,920,000 in 1976Municipal roads: $17,260,000 in 1974-1975, $17,500,000 in 1975-1976, and $17,750,000 in 1976-1977. Motorway peaks The financing of motorjways in 1976-1977 would [cause problems, the Director [of Roading (Mr F. A. Lang:bein) said in submissions.

A bad peaking of commitments would occur, with Wellington’s Terrace Tunnel, Auckland’s Newton Gully and Mangere Bridge all at a high point of their construction, he said.

Two problems were evident in the municipal sector — the extent to which major works planned in the principal urban areas would meet traffic capacity demands, and the number of master transport plans still incomplete, or under review.

County subsidies In the counties sector, there were problems in assessing subsidy rates for new works. Mr Langbein said. An acceleration of works on the West Coast and in North Auckland is provided for. A total of $1,350,000 will come from the Consolidated revenue account, West Coast State highways getting $350,000, North Auckland State highways. $700,000, and North Auckland county roads $300,000.