SUGGESTED INDUSTRY

Evening Post, Volume CXI, Issue 68, 21 March 1931, Page 11

SUGGESTED INDUSTRY

PRODUCTION OF PETROL

"This country to-day is being'crucified on the oil derricks of the oilr£rusts," N said-Mr. J. S. Fletcher (Independent, J Grey Lynn), who stated that New Zealand could save £2,000,000 per annum by extracting its own petrolfrom crude * oil. . .' . ■■:.■/•_ •■•.;. _ "It is possible," ho said, "to -establish a petrol cracking plant, including the purchase of the site, for £300,000. Tho crude oil could be /brought into the country and the operation of th'o plant would give employment'for at least 200 workers. As a result th« country would save £2,000,000- in its petrol bill. That is what the country is paying, because it is in tho- ■hand's of the oil trusts. The Government . should either get "the companies to reduce the price of petrol, take over tho petrol business, or establish' a tracking plant/ Mr. Fletcher1 said- that oil could be obtained from: Venezuela, Colombia, or the Dutch Indies. •' Mr. E. Semple (Labour,- Wellington East): "What about coal?" _Mr. Fletcher: "The only way to deal with coal satisfactorily is by the hydror genisation process, and that' would require a capital of £3,000,000.' This is not practicable at the present time." Mr. Semple: "It would.pay in the long run." •' ". ■' Mr. Fletcher said that the Government would have to take the initiative, because it would have to be a monopoly. Any company which started would be squeezed out by the oil trusts. A company could be formed with a deflnitn guarantee to reduce prices: It could be allowed 6 per cent, profit, and anyother profits which might be made could bo divided fifty-fifty with the Government in view of the fact that a monopoly had been given. The countrywould save £2,000,000 per annum, and instead of wallowing in the slough of despond would be on ' tho high road to prosperity. . '..'.'