SOUTHLAND POWER BOARD

Greymouth Evening Star, 2 July 1936, Page 16

SOUTHLAND POWER BOARD

GOVT. OFFER REFUSED.

[PER PRESS ASSOCIATION.]

INVERCARGILL, July 1.

Southland Electric Power Board, at a special meeting to-day, reaffirmed its decision not to hand over the Monowai scheme to the Government. The motion was carried by seven votes ro five.

A motion sponsored by Mr. G Wraytt, to rescind the Board’s previous resolution rescinding its previous decision to take a referendum on tlm question, was ruled out of order. This ruling was on the grounds that the procedure was unconstitutional. Instead. a division was taken on a report presented by the chairman (Mr. J. T Carswell) outlining the Board’s reasons for the retention of the scheme. Mr. Carswell said that, after full consideration, they were well satisfied that the Government’s offer was quite unacceptanle. One financial advantage it offered, in addition to what the Board could offer to-day was the elimination of the land rate. This rate would have been entirely unnecessary if it had not been for the exchange (which the Government was pledged to reduce), and also for the high rate of sinking fund fixed, which the Minister declined to take any steps to vary. The total of'these two items (exchange and the sinking fund) exceeded £65.C00 annually.