MAILS AND CABLES

Evening Post, Volume LXXXV, Issue 57, 8 March 1913, Page 9

MAILS AND CABLES

TRADE COMMISSION'S ENQUIRIES OFFICIAL EVIDENCE." Mr. W. Morris, secretary of the Post and Telegraph Department, in giving evidence before the Empire Trade Commission yesterday on cable rates, oUtlined the genesis of the Pacific cable. There had been a rate of 10s 6d a word, which, when reduced to 3s, resulted in an immediate gain — and there had since been a steady increase. It was in 1903 that the rate was reduced , to 3s a/ word. Within certain limits the effegt of a reduction of cable, rates was increased receipts. He showed how the traffic had steadily grown with the reduction of rates. He a further reduction of 4d might be made. The proposal at present was that New Zealand should take Id per word, the Pacific Board should take Is 6d (as from Australia), the Atlantic cable Is, and England He believed it had been suggested that the Pacific and Eastern cables should pool receipts. They now competed and canvassed for business. To Sir Edgar Vincent witness said there was no evidence brought under his notice of any rebates or discounts being allowed."-' 1 Pooling receipts Would effect economy in working. The competition was expensive. 'It was based on exactitude and speed in transmission, the rates being the same. The 1 Pacific cable' was capable of doing seven million words a year, but was now doing only two million words. He agreed with Sir Edgar Vincent that it was extravagant, when it was considered that the Pacific cable was working at a maximum of two-sevenths of its efficiency. Sir Edgar Vincent : Does it not impress you as a very unbusinesslike arrangement ? , Mr. Morris : "Yes." Deferred weekend cables had "caught on" and were growmg all the time. ' The reduction of rates, both postal and telegraphic, had met with a generous response from the public. To Sir Rider Haggard witness said he believed that up to a certain point a reduction of rates could be made and wduld meet with increased business. It was quite possible that the rates could be brought down to Is ,a word ; nor was it improbable that a substantial gain would follow from a still further reduction of cable rates to 6d. They must, of course, provide for the balance of revenue and expenditure. There were, too, expenses outside the cost of management to be considered. With further reduction the volume of cable business would increase enormously. If there wer,e greater reduction no doubt, said the witness, people would cable instead of write.. Domestic cables were now sent generally in extreme urgency. To Mr. Campbell Mr. Morris admitted that it might be better business to have an All-Red cable across the Atlantic before the rates were reduced. He reminded Mr. Campbell, however, that the great expenses of maintenance of cables had to be provided for. He thought the proportion charged by the Atlantic cable was unduly high. At present he would not think that wireless would be a formidable competitor with the cablehe would rather not give an opinion on that. "If you had confidence in the immediate future of wireless, however, it would be foolish to spend much money on new cables,"- he added. QUITE SATISFIED. In dealing with the mail services Mr. Morris said a very satisfactory service was obtained for the price paid. He was not dissatisfied with the rate of speed as compared with the speed on Atlantic mail steamer service. The time could be cut down if increased speed were paid for. The people were satisfied With the speed. Sir Edgar Vincent : I think you are easily satisfied, you know? Are you making any plans to speed-up the mails in view of tho opening of the Panama Canal ? Mr. Morris said 1 that was not beine done. & v Sir Edgar Vincent : In fact, you are quite happy? To Mr. Campbell witness said there had been a feeling in New Zealand that it would be desirable to have an All Red mail service. Mr. Campbell then asked if the matter was being pushed? Mr. Morris said he could not say that it was at the moment ; but , there was a feeling in favour of it.