TURNED DOWN

Evening Post, Volume CII, Issue 32, 6 August 1921, Page 6

TURNED DOWN

HUTT'S GAS SUPPLY

COUNCIL DECLINES TO MAKE . .TERMS WITH PETONE.

In committee last night the Lower Hutt Borough Council decided not to entertain any of tne proposals soncerning'the Petone gas-works and the supply of gas to Lower Hutt which'emanated from a conference held on Thursday. The followjiig,.statement was made by the Town Clerk, Lower Hutt:—

Tha'matter placed before the,meeting as to whether ■ the-council would enter into negotiations with the Petone ISorough Council in the direction indicated above, and to this end the follow- ' ing "four proposals were submitted :—

(1) Joint ownership and control as recommended by the Board of Trade.

(2) Joint ownership and, control for IKo" manufacture and - side of gas to the borough."' ""." J ' " '". '" . ■ ' (3) Joint control'of the works' by the Petons and Hutt Councils.

(i) The Lower Hutfc to take the requisite supply of gas irom Peton* on » percentage basis.

A full discussion followed,' lepgthy consideration being given to the proposals. Eventually it was decided to make no recommendations "on any of the four 'jjQijiJ?,.outlined, but to proceed,as. soon •a3-possible with: the erection of gasworks for the Hutt district in. conformity with the loan, 'proposals"of 29«h Juno, and which will involve an estimated expenditure 1 of £64,000. Interviewed on the question, Mr. E. P. Rishworth, Mayor of Lower Hutt, said he could not give any further information, as the meeting was held in committee. Councillor Strand, who has shown great interest in the matter,., also said he could make, no statement, but 'from what can* be"gathered the decision was by no means unanimous, and during the debate considerable, warmth ;was exhibited. " .. •

Mr. J. W. M'Ewan, Mayor of Petone, said he would prefer not to say anything in the meantime.

Councillor Anderson, who moved in favour of setting up a committee to meet Lower Hutt, said : "The njatter has coma as quite a shock to nic, and I am 'sure' to other Petone' councillors. The Petone : Counqil, was absolutely anxious to come to an agreement, but Lower Hutt has apparently stopped negotiations before the. Petone Council has had a chance of ' considering the matters discussed at the conference on Thursday. We' left that meeting most hopeful that an agreement would be arrived at, and intended to further discuss the matter at ..a , meeting on Monday night after Lower Hutt had considered the proposals. There were really ithree suggestions made at the conference —(1) joint,ownership and control of th« ■whole gas-making and distributing business ; (2) > joint ownership and • control of |the.-:nahufacturing .business only, each party to" do ite own distributing; (3) . joint control of the two boroughs with,out,any' liability or responsibility, on th» part of the Hutt. Under the latter scheme, a joint board of control woul(jl fix the price of manufacture, and an arrangement would be made to sell to Xiowar Hutt at that price, plus a small .profit. This suggestion was new, and /Petona,/ councillors thought it would ,solve the whole position without Lower Hutt paying a penny, and also without Petons relinquishing ownership of its own works. As-far as ,we could see, iHutt councillors were favourably inclined to this, proposal. I desire to say that I believe Petone was prepared to most , favourably and seriously consider any ■one of the proposals, bat the cutting off ■df negotiations has apparently ended t the matter. Lower Hutt has apparently turned. down its own proposal of joint ownership ■ and control." ' It is pointed out tb,at the third proposal could, have been brought into effect immediately under clause 34 of the Municipal Corporations Act, which igives all the power required for the setting up of a joint board of control.