IMPROVED BUSINESS

Dominion, Volume 29, Issue 199, 20 May 1936, Page 6

IMPROVED BUSINESS

Tararua Electric Power Board

SECRETARY’S REPORT Dominion Special Service. Pahiatua, May 19. “The period has been marked by activity in most phases of the undertaking and has closed with prospective and authorised construction work to serve consumers on the route of 52 additional miles of the inner area,” stated the managingsecretary, Mr. W. F. Taylor, in his annual report to the Tararua Electric Power Board. “The returns disclose the important fact that consumers in the reticulated districts are increasing their demand for electricity and realising more, its convenience and utility. The process of reaching the present point of advantage has been very slow and tedious, but this is accounted for by the slow awakening of settlers to what has been regarded as electrical innovation. It was very commonly remarked two or three years ago that the electrical reticulation of country districts was not ripe in point of time. The statement is not used now, and the pioneers find justification for their foresight in moving for a license in the gradual growth of the system at present in operation, in the counties and boroughs of this power district. “Apart from the extensions to the main lines recently authorised there is a movement from at least three other directions for electric supply which sooner or later will assume practical aspects. “The following additioual loans have been raised during the year at an interest rate of 3i per cent, per annum: Hydro loan, 1935, £2000; hydro loan, 1036, £12,000; premiums loan, £6400; Pahiatua Borough Council redemption loan, £7700; a total of £28,100,” added the report.

“In this, the thirteenth year, we are able to show a net profit of £1370/6/6 on electricity and trading accounts, which is the most pleasing result we have so far achieved in any year. This is the telltale figure on the assumption of prosperity of the business. It may well be considered a small profit on a turnover of nearly £9OOO as compared with the returns of other supply authorities; but it can scarcely be disputed that the district has not yet fully responded to. the various overtures of the board in point of. rates and conditions of supply over a period of promotion activity of 11 years’ duration. “The following comparative, table is interesting: 1935, purchases £6246, sales £24,892, turnover £1997, net profit £611; 1936, purchases £6578, sales £26,086, turnover £2665, net profit £1370.” “The total working costs, less electricity purchased, compared for two years, are as follow, the figures in parentheses being those for 1936: —Maintenance, 1935. £2132 (£2573) ; renewals, £661 (£855); management and general, £2069 (£2250). The cost of the restoration of the Exchange Buildings in the year ended March 31, 1935, does not appear in the figures for that year. “The general revival of trade, wita which is allied more freely circulating capital, has undoubtedly contributed to the enhanced net result of the year’s working. The road construction contracts, of which there have been several, have assisted revenue by several hundred pounds. This source of revenue is, of course, incidental. “The dairying industry load has been well maintained, but expansion on this side of the business is scarcely to be expected. The industrial load shows some minor signs of growth. “The residential load, while showing some increase, is disappointing, as it is the major phase of the business. Electric ranges, until the last two months, have not appealed to the public. This should be a source of revenue not yet enjoyed to the expected extent. “The connected load is now 6,352,030 k.w., having increased by 541.616 k.w. during the year. The inner area .of 700 square miles is now reticulated with 223 miles of line and serves 1685 consumers. “The total number of units taken at Mangamaire was 3,780,186 —an increase of 243,000 units on the figures for the previous year. Units sold amounted ro 3,326.368,” continued Mr. Taylor. “The following schedule sets out the number and nature of electricity consuming devices apart from irons, toasters, kettles, and similar appliances being used in the board’s district: —Milking machine motors, 477; industrial motors, 67; water pumping motors, 127; separating motors, 149; dairy factory motors, 68; water heaters, 515; ranges above 2.5 k.w., 190; ranges up to 2.5 k.w., -14.”