GREY POWER BOARD

Greymouth Evening Star, 15 September 1926, Page 3

GREY POWER BOARD

MEETING AT ROTOMANU.

The campaign of the Grey Power Board, undertaken with the object of supporting the £50,000 loan poll to be taken on October 6, was opened by a meeting at Rotomanu yesterday, when Messrs J. AV. Greenslade (chairman) and J. O’Brien, accompanied by Mr A. J. McDowall (secretary of the Board) met numerous farmers of the district. Mr W. Vallance, who presided, said the affairs of the Board had caused grave concern to the ratepayers throughout the district. The first scheme was hydro, and when a steam scheme was proposed, the ratepayers presented a petition, and no one knew why the Minister of Public Works turned down the fair request of the petitioners. The Board had borrowed £BB,OOO to complete the scheme, and now they wanted to borrow a further £50,000. They had lost all confidence in the members of the old Board, and lie was sorry that the men who made the promises were not there that day to defend themselves. Mr Greenslade said that undoubtedly the ratepayers voted for a hydro scheme. He was one who was interested in the petition presented to the Minister of Public Works. However, before he and Mr O’Brien were elected members of the Board, the steam plant was decided on. They were there to take the ratepayers into their fullest confidence. They had a plant capable of producing 1000 kilowatts, but no money to link up the revenue-produc-ing consumers. If they did not get this money, they could only meet the deficiency in the revenue by striking and collecting rates. The olily way out of the difficulty was by voting for the loan. The Board had decided unanimously that, in the case of a rate being called up, they would strike a differential rate over the unreticulated

areas, so that those who did not receive any benefits would only have to pay an infinitesimal rate. There were only two ways open to the Board, either to get the loan or strike a rate. If they did not do this, the position of the Board would become worse and worse.

Mr O’Brien said that undoubtedly they had voted for a hydro scheme. He had been very much in favour of hydro, and had presented the petition signed by them to the Minister of Public Works. The Minister had said that if a petition signed by more ratepayers than the number who voted for the loan were presented to him, he

would have to take notice of it. Some

thing happened, and tbe Alinister went back on what was said. When the

speaker and Air Greenslade were elected to the Board, they found that over £40,000 'Of the loan money had been pledged in ...buying material and letting contracts, and they had to go ahead and do the best they could for the ratepayers by establishing the steam scheme. The Board had extended its operations, and they found the estimates were greatly exceeded. In fact, they did not know the actual financial position of the Board until a few months ago. They fully expected that within two years the revenue of the Board would exceed the expenditure. It would do that if the estimated revenue were written down, from 10 to 15 per cent. Air AlcDowall explained to the meeting the clauses in the Power Board’s Act allowing the collecting of differential rates. Air Palmer stated that what th» Rotomanu farmers objected to was not the rate, but the injustice of being included in the Power Board’s area. There were no farmers so poor that they could not pay rates, but the principle of keeping them in when they could never, as far as he could see, be supplied with electricity was wrong. Captain AVhitinore asked why the Rotomanu people should be specially rated.

Air Greenslade explained that the Board members decided on the differential rate so as not to place a burden on those in the unreticulated areas who received no benefit from the electric power. Air Armstrong (Inchbonnie) asked if the Board would help the Hohonu Riding to get out of the Power District. He held that the Board had had a

special Act of Parliament put through for their overdraft, and a similar special Act would let them out. Air O’Brien said that the Board had taken the highest legal opinions in New Zealand, and these went to show

that the loan had to be struck over the whole area, since portion of the money it was proposed to borrow was to be spent in adding to the present plant. In answer to Mr Armstrong, Mr O’Brien said it was beyond the' power of the Board to let them out since the lenders from whom the money was borrowed held-the whole of the ratepayers in the Power Board area responsible for the loan. The llohonu Biding might be let out by a special Act of Parliament, but he did not think it possible. A resolution was moved to the effect: “That this meeting has no confidence in the Board.” Captain Whitmore objected to the wording of the resolution. He had the fullest confidence in the members of the Board, but did not believe in the policy adopted. If a resolution was moved on those lines, he would second it. Mr C. Ball said he was sorry that sc- many men there*hat day, who had the fullest confidence in certain members of the Board, should be asked to vote for the resolution. They knew that when Messrs .Greenslade and O’Brien gave their word they gave their bond, and the residents present ought to give them the fullest confidence. They knew some time age that the Board would become the laughing stock of New Zealand, arid that tiine had come. The present members were trying to do their best to make good the mistakes of the past. Mr Larkin moved, as an amendment, “That this meeting has every confidence in the members of the Power Board.” Mr Palmer seconded the amendment, stating that the members were trying to do their best. Mr Ball suggested that neither the motion nor the amendment suited many present, and that they be not proceeded with. He added that the ratepayers could decide the matter for themselves on polling day, It was decided not to go on with the motions. A vote of thanks to the Board’s representatives was carried, on the motion of Mr Vallance, seconded by Mr Ball.