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BUSINESS AND POLITICS

Commenting recently upon the decision to have an expert examination of railway business, we pointed out that many of the difficulties which caused the greatest complaint were political in origin. Iv using the term "political" we do not suggest something sinister : but it is undeniable that a plain business course is interrupted at many points by considerations which would not have equal weight iv the management of a private business. The present Minister of Railways is not solely, or even chiefly, responsible for this. It is Parliament's responsibility, and -the Opposition as well as the Government has contributed to the policy. It is a policy which cannot be changed in a moment, and he would be a bold man who would say offhand that it was desirable to exclude all political considerations. For example, there are lines of railway which, if business alone were considered would probably be closed down; but this would thrust undue hardship upon some settlers. If, however, services and concessions are continued which are not .justified by business considerations, this should be honestly admitted. The Management should not be blamed for those faults which it is powerless to alter.

A statement of the managerial point of view was given by Mr. M'Villy in his address to Railway' officers on Saturday. It was a. statement which will commend itself to all fairminded critics, and it indicated briefly some of the problems which the expert Commission will require to solve. There is one point, however, which Mr. M'Villy did not emphasise—the popular reference to the Railway Sendee as a monopoly. At one time there were monopoly features; though there was never a complete monopoly. To many districts there was steamer competition, and always the monopoly was so controlled that it could not take full toll of its customers. Now, hewever, the monopolistic state has been further encroached upon by road motor traffic. This traffic is under no obligation to carry the social burden imposed on the .railways, it can choose profitable lives and leave unprofitable, and it runs upon a permanent way which is practically free. Moreover, the cost of that permanent way is subsidised by the rival Railway Service ! This, at least, is an anomaly so glaring that justice to the Railways should demand its immediate removal.

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Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/EP19240623.2.35

Bibliographic details

Evening Post, Volume CVII, Issue 147, 23 June 1924, Page 6

Word Count
383

BUSINESS AND POLITICS Evening Post, Volume CVII, Issue 147, 23 June 1924, Page 6

BUSINESS AND POLITICS Evening Post, Volume CVII, Issue 147, 23 June 1924, Page 6