Commercial Wellington Gas plans to diversify

Press, 24 March 1977, Page 18

Commercial Wellington Gas plans to diversify

PA Wellington < < The manufacture of a new v type of lightweight concrete, 1 and the development of the i use of compressed natural t gas, were two of the i diversification plans des- t cribed at the annual meeting < of the Wellington Gas Com- J pany, Ltd, by the chairman J (.Mr I. D. Reid). Wellington Gas has a 65 i per cent interest in Tasman c Engineering, Ltd, which J has received "the blessing” t of the Overseas Investment i Commission, and has world c rights covering the equip- < ment, chemicals and ‘know- i how' for a new type of f lightweight concrete based' on a foaming process regis-' c tered under the trade mark c of Fo-Con. I The chemicals and the c mechanical equipment will J be manufactured in New il Zealand for export. Mr Reid said that the e

company was jointly financing a research programme with the New Zealand Portland Cement Association to assist in the international marketing of this tech-1 nology. The general manager' was already handling substantial inquiries from ' Japan, Korea and the United! States. “Considerable interest has] also been shown by the concrete products industry in New Zealand, because of the' obvious advantage of lightweight concrete in seismi-' callv sensitive areas —, as well as greatly enhanced! insulation performance of foamed concrete.” Mr Reid also said that the; development of the use of: compressed natural gas ini place of petrol has increased dramatically in the United; States — particularly in Cal-! ifomia. “The technology has also! extended to Iran, where

fleets of taxis have been converted.

"Compressed natural gas being lighter than air does not have the disadvantages iof either l.p.g. or petrol, and lis completely acceptable environmentally with regard to emissions.

1 "Vehicles fitted with the dual fuel system can be recharged in the same manner las normal petrol-powered vehicles, and retain the normal petrol supply for emergencies.

I “We are currently investigating the establishment [of the necessary facilities in Wellington,” Mr Reid said. Regarding the company’s performance so far in the current year, Mr Reid said that while it is traditional for sales in the three months to March 31 to be at their lowest level, this year they are 23 per cent above last year, on a volumetric basis.

“However, monetary sales are marginally below budget, but three per cent ahead of last year, brought about mainly by the hospital contracts.

“Natural gas has, beyond doubt, firmly established itself as a premium fuel, and it must surely be in the national interest that it be put to the best possible utilisation.”

1 “For the general good, the 'area most necessary for the [company to increase is in [the domestic field, but as 'pointed out in the annual ireport, the Government not 1 only enables the Electricity Department to work taxfree, but proposes in the current year to increase the i price of natural gas because ,of the conversion of the 'Natural Gas Corporation into a tax-paying entity.

“This must place natural gas at an unjustified disadvantage when compared [with electricity, he said.

Mr D. S. Scott, who has been appointed managing director of W- D. Scott and Company (N.Z.) Ltd, management consultants. Mr Scott was previously regional director of the Scott group of consulting companies in the United Kingdom and Europe and is a director of W. D. Scott (Australia) Proprie* tary, Ltd. From 1961 to 1973 he was resident director in New Zealand.