OUR CITY TRAMS
LKXEWAL AXI) P.ESEItV'E FL'XDS. [By li.D.j In my previous article dealing with these funds 1 showed that at the close of the 1917-18 financial year thev stood at the respectable total of £135.000. This year, closing on the 3l*t hist., should show these funds not far short of £150.000. In other words, we have set aside half the amount of the tola. 1 capital expenditure in a period of 15 years' working. Let me glance for a. minute at their rate of growth. In the first eight years tiie total amount of both fluids was less than £33.000: the second period, of seven vears, showed an increase of £102.000, reaching the total of £155.000 as mentioned above, giving piomise that in about 10 years' time from now the whole debt for the original tramway loan will lie extinguished. My object in stressing the charges to these funds and their present use is to draw attention to the policy of the present City Council in regard to the expansion of our City's tram system. To pile up and lay away such large amounts is neither good business nor t is good municipal enterprise. In a. subsequent article I hope to outline something in the nature of :: policy of expansion. Meantime, I will continue on the subject of charges. ILLEGAL AND UXJCSF OHARGEti, To justify this heading one has to go back for some vears and to look up old reports of 1906.' 1907. and 1908. Therein one finds some things that- throw lf»ht on the various charges that have been heaped upon this department. Our tramway department showed early signs of being a strong, lusty child: theivioiv the City Fathers of that day decreed that it must carry the burdens of others and save the ratepayers. Here are three undertakings and their cost : Lee Stream works £17,416 Street widening 13,578 George street bridge 3,513 Or a total of over £34,500. In regard to the first item iLee Stream works), this from the very first was part and parcel of the hydraulic elect vie power scheme (see Neves" Bros.' report v< June, 1906, where thev allow for it in their report on the " cost of electric power from Waipori falls"). Therein it appears as £18.300. The next items are street widening and George street bridge. The charging of these' items wholly against the tram department is quite unjustifiable. Such charges van only be warruntel when they are put in and used solely for and by the tram department. Neither of these come under this heading, therefore they should be charged to tl.rir proper accounts and thus relieve this department of their annual charges, which amounts in interest and sinking fund to over £2,000. In addition to these charges there is the continued excessive charge for power as charcted Uy the E.P. and L. department against the tramway department. I set it down at least to another £2,000 per annum. "Lake Coleridge" supplies the Christchurch Tramway Hoard with power at 33i per cent, less than our Waipori E.P. and L. department. Xoyes Bros., in the renort mentioned above, recommended that the tramways department be charged Jd per unit, and, -writing in explanation of the price, say: "This rate may appear high," and further on they add: "This can be reduced when a paying load is obtained in other departments." But what do we. find': That instead of a reduction, this was soon raised to an extent, quite undreamed of. as it increased by nearly 50 per tent., meaning additional charges exceeding £2.600 per annum to the tramway department. This has been somewhat reduced of later years; but it is still too high, especially now that the E.P. and L. department is well established and doing well. It is up to this department to be independent of the tramways department and the city lighting for such a large slice of its so-called profits. To sum up: What do we find? That the tramways department is carrying a load of annual charges of well over £4,000 which do not belong to it, and which hamper and hinder its true and proper development. Why should it be so, and must it always continue thus? In my next article I propose giving- some suggestions as to expansion of our tram service.
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Evening Star, Issue 16993, 15 March 1919, Page 10
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717OUR CITY TRAMS Evening Star, Issue 16993, 15 March 1919, Page 10
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