N.Z. Post

Press, 20 November 1987, Page 20

N.Z. Post

Sir, — It is a pity that-Mr Nicholas in answer to my letter (October 31) did not see fit to explain that while country people pay: a rural delivery fee to have their mail delivered, urban people have it delivered free. Can he explain why it actually costs 12.5 c an item to deliver the post in town and 9.25 c an item in the country and yet he can still say the country service is subsidised? If his subsidy figures represent the actual cost of running the post office, can he please explain what constitutes the expenses and income used to arrive at the cost? —Yours, etc., I L. G. RENNIE, i November 3, 1987. I . . [The district manager of New Zealand Post, Mr P-. J. Nicholas, replies: “L. G. Rennie believes that it costs 12.5 c an item to deliver the post in town and ,9.25 c in the country. I am not ;aware of where these figures i have been obtained, but suggest that simple calculations would indicate that it is far cheaper to deliver to ’city residential premises* by push-bike than to farms and farmlets in the country by motor vehicle and the fact still remains that New Zealand Post does subsidise the rural delivery service. I have no intention of listing out each expense and Income used to arrive at the cost of running the post office, but again say that it represents the total cost of running the 1986-87year.”]