A WEAKNESS REMOVED

Evening Post, Volume CXI, Issue 92, 20 April 1931, Page 6

A WEAKNESS REMOVED

A source of weakness in the Government's economy policy has been the failure to include the South Island Main Trunk line in any saving plans. When construction of railway lines was suspended this line, which will cost £2,500,000 and show an interest loss of £100,000 annually, was continued. Again, in the Railways Amendment Bill the authority of the Board to investigate new or suspended construction did not. extend to lines which had not been suspended. We are pleased to see that the Prime Minister has now agreed to remove this source of weakness from the Railway Bill. He informed the House on Friday night that "lines that are how' under construction will have to be included in the scrutiny of the Board." This is all that can reasonably be demanded on this point. If the Board that will be responsible for railway operation has authority to investigate all new lines, whether they be wholly new or suspended or now under construction, the facts will be placed before Parliament. It will be for Parliament to say then whether an operating loss or an interest should be incurred. At the same time, we believe that there should be some provision in the Bill, such as the Railway Commission recommended, whereby the Consolidated Fund shall be 'chargeable with the loss on any line which Parliament decides shall be constructed because of its "developmental" value.