RATED FOR COUNTRY CONCESSION

Evening Star, Issue 21824, 13 September 1934, Page 15

RATED FOR COUNTRY CONCESSION

CITY PROCEEDS AGAINST POWER BOARD [Per United Press Association. 1 _ WELLINGTON, September 12. Town v. Country considerations enter into the dispute between the Palmerston North City Council and the Mana-watu-Oroua Electric Power Board, which came before the Chief Justice in the Supreme Court to-day. The City Council and the mayor seek an injunction' restraining the board from striking certain rates, and also asked that the board be directed to rescind its decision to reduce the price of electricity for milking motors. The position as alleged by the plaintiffs is that the Manawatu-Oroua Electric Power Board drew up its estimates for a deficiency of £0,700, which included £2,000, being the estimated loss through reducing the price of electricity for milking motors by id per unit. In order to nfake up this deficiency it was- decided to strike a general rate over the whole of its area, which includes the city of Palmerston North, and a special rate over the city of Palmerston North alone. The City Council alleges that with the exception of the Kairanga County representative the country members on the board, with a majority of eight to four, display bias against the city. It is contended by the city that there is no need to reduce the price for milking motors. The power board submits that tho reduction in the milking motor charges was made after careful consideration by the board and was deemed to be in the best interests of the board. Tho levying of general and special rates was a bona hdo exercise of the powers of the board. Counsel’s submissions for the City Council were unfinished when the court rose, and they will be continued tomorrow morning. Evidence on behalf of the power board will probably also begin to-morrow. A large number of witnesses will be called.