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OUR RAILWAYS.

PLEA; FORjTRIAL .OF\ZONE SYSTEM, v':;; . SOME INTERESTING FIGUEES^.;-';/;;^;; Among the petitions presented'to. the House ;:;: yesterday was,one from Mr. Saranel Vailc, ~ . ;■■ of Auckland, asking for a trial of tho zonev >£| system in connection with the.'railways. . ',?;; ;|-;ii Mr. Vailo says that ho has learned withV■■■■';s• surprise and regret ,that : tho; Govornmont ha* determined to'iargcly increase,tho cost of lolng-,;'; v!;;':': distance travelling.. It would/have been iu his opinion.to have first tried tho effoct'of. „* reduction, as even' if there had been somo, loss' .' J; of; revenue,: tho country would ■ havo had the f i v fi benefit' of the; reduced charges,;.'. iyKilst ..by ' ;i';;i raising rates production .'nni,st[to-Wine..oxtenty.'47!j bo retarded.. Although: a largo;pr'oporti6ii ;6£ :. ■•';. tho voncing"expenses- is ;: cliarged- to ,>)';;:,'; capital that was formerly, paid'out of rovejwe ■■::'.£:■'. earned; and that since 1894" J8767,800--hfts, been :!;;,;; brought to "revenue ~for ..wnounts. - ; ,-.;•;'»' charged for sorvices.ljuilid to"-, have.,: been rendered to other .D'cpartmbnts ot there is still year hy.iyeai;,a rap.idly-inttreasinff,-' .;.',', loss mado Ou our raiWays by '■ pursuing > the ; ■ .•; present of. administfation. In'order to make'it appeajr tliat u the pay-even '.c.g'i tho low rate of J).l3 : pei , 'corit.,:'no intorest what-;'/:./:'<-;; over is charged-on, flip 'capital cost, said, to ■£29,052,432, aor. is .there-any'provisipu, mad*;;:>:;■,v.; , by sinking fundr depreciation, account,; Or in-:v.f •) any other way,.-for'loss by wear, and'toar. i- 01;'■'■ '•■■:s JC398.036 changed to .'capital' account for addi-':; ..S'.; tions to. open'lines' last year,' nearly the' whole'.;.]>;i;.' ought to;,Jiavb been provided out of yroyonusViyivv' If some .'change is not soon mado;" the'.'railirayi '.'■': J - .! imust be sold, or disposed of. v Hβ .~>a';.'<j would like to direct attention to. tho fact that-,:.,-';•;-'. .£170,321 was:said to have been paid last,ycar : ,; :: : : -.'- : to the Eailway Dopartmont by other-Depart-V; .:;'■; ments for services rendered.:, : . In 1838 tho-amounfc/ charged • for : these services was JE36452. :,','•:!-, It was difficult to see that the circumstances of the Dominion could havo.altered so much ;i; as to justify the enormous increase.' Inthef.-■ New South /Wales railway report for 1907 it. ;;.•'; was stated that-the. earnings did not include 'j'-jsiv JC18.227 for. services, rendered to State ;Depart> .:y::\o monts: for'whicli' no payment.was received..If our railway account n&i kept as the bank- i. 'S,c----i-uptcy lafrs .of -the, Dominion compel allvits.. :\;K trades .to• keep their• accounts,' -it wonld ;have ;■';, ;; ; . shown for tho year -. ending March'- 31. last »J ! ;;. ;: .-• loss of J5915.904.made up as'follows:. ; -■-■\;. : :.-.'.-ii)

Interest on: ••■.capital : ' expended j ■''../■> > : ;si-; :■ ■ .£29,052,452, at. 4 -per: cent v.....,i....; lil62iO!17;v::'-j|j Working expenses ....:.......;,.....;.......... 2,114,815 ■. ":;i 'o Additions . toAvbjiicn'V-'-'iinc JE358,097, ■ ; ".:.C;-:| v ■?'■■& ■ total cost of,keeping lines open-for, ■;"■'.:■ '-.• '••:".•'•.'•:' : -i year. 3,675,009 %^i Gross Tevcmie, less- the fictitious item '; - •'•■■'. •■■. ; : of ,£170,320,; said to bo received 'for ; •■:,;: /-.. '[<>$'£ ;• services- rendered to other Depart--. ■■?.''■■.." :"-:'v-' : . memV of ,tho' Public',' Service, ..:...: 2,?sft,2M.;'i■/>.:*' Actual loss during ■ the year.......,;...... 915,803 ~v'••; ; ;f^ Hr. Vaile goes,oh: to say that it would. app.;.';V ?.": pear- that the:, grebtcr number - of ; millions we ..•:; ivinvest in'ourJ-rniUyayß, the.-more miles }■■ we open, the. worse service they, render .the 'Do-. , .■.;-' l i; minion. During tho .25 -years, v 1884 ■ to'Vl9oß,';"i : ;i. ! the total loss,mado:was: j:9,M7,031. :For, the;;;, ; S purpose of showing'how the loss was■ increaa-.r.i'p:.-. ing ho had taken 'out the following figures:;,:-?'^ Year '-..' ■ '- ~,.' IncreaseofNew miles;., ',•.■,'•'■:. •■"'•&;:; ; !.' '-. - .-■■'{, .'•"'"."■ >,: capitaL . opened. l 7'. l l*sß6s. v ':;-'.. : ; i ';. f ■'■■■X"- ' .'■^■■■■'■•■•:' : ". :J --'-"yJi i :r :^^ 1884-88". .■...Vμ.'.-. '3,293,C30 .' 362 V ,' ■■'1,077,43* 1;.•!>--■.' 1889-93 .; 1,163,423 : - ,',128 -1,070,493: ■■'X^ 1894-98 ....„„;.:.:„ -1,105,513 ; '-.- IG9 "'. '-::. 1,270,128 ■:.':-;:f';' d 18D9-03 1 .....,.....;;..; 3,342,890 •• ,236' 2,794,351 : Xm 1904-08:...'......;..;..:;6,520,205 ■'. v 180 ~: .3,234,628.;;,;;^ .- Totals S:J;L 15,423,661:.:: 1075'-■ ;i;9,447,031 !^'=| ! | : According to Mr.' Vftilc, for,- tho! next'; fivi '■, ;' J ■-, years,' ,1909-13, : ' if .the -. present ■'.method,, of [ ad-. ministration :is ' persisted in'Vthe; loss ;will' he'.';: '.'?*■■) nearer, five millions; than four ,'milltons. support of assertion of the tremendous losaJyji/V,: made "on bur railways lie:quotes ;an-drticl»:v';|fj'j on Kailways in New. Zealand intho;Quarterly,/,i:v. ,; V Journal of Economies by Dr. J. £. : .16 ttdssignol, ■':.{■«; Colorado, .and vW. Di Stewart, a well-known ■' '; ; New Zealand resident. In, a book ho has re- :,:.,<....; cently published in London, the, editor pf the •'' Investors'. lleview " has expressed his entire '. ,'.' j«',V',-f' approval of his (the petitioner's) method :;of ;"■' taking--'tho' railway iiccount.. l r rom the-ifaotg;'.:j:'f mid; figures .-which, .he': has. given,; it> was in-'- . : : {■;. couteshbly .proved that our present systenrtf^.:-:. 1 .,-.! railway':administration,: which 1 /has jnow-';bcetJ'■■:%•.->,' on'its trial,for 39'year's,.'is' a'mosVpronotneed^'. '■/. ■ ■ indisputable.' and disastrous- failure , ;; giving -0n,.":. \K the lUUwa'y.Department's -ow_n showing,:wpise':v,-^> , ; and worse results"every, , year. ''Seeing thaKpur7'.';; ,; y whole social; system .depends .absolutely on- 1 ■'. '■; y: ; ) and exists by transiti.it is.'appare'nt that thi«-.;.v : ;V;: state of ■■tiungs ;cannot; go.' on. ; : much; .longer.:'':' 4 :■}' ■Ho therefore prays that', the .House 'will-.ordb'r, .'i'f I-S that:: an unconditional. trial of .. the>,systcra,-„'.'<'■■ -. known as Vaile's stage_system,;may at 6nce.be.:'X'A' made.,:,-...'V----'•■'"-"'■ '■■'•'■■'-■•■ ■\'' : -.S : -,'-',^<. : ''-~'; :':"' : :^:' : <:-

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https://paperspast.natlib.govt.nz/newspapers/DOM19091210.2.9

Bibliographic details

Dominion, Volume 3, Issue 686, 10 December 1909, Page 3

Word Count
751

OUR RAILWAYS. Dominion, Volume 3, Issue 686, 10 December 1909, Page 3

OUR RAILWAYS. Dominion, Volume 3, Issue 686, 10 December 1909, Page 3