GREY POWER BOARD

Greymouth Evening Star, 20 January 1938, Page 3

GREY POWER BOARD

MONTHLY MBKTING

At the monthly meeting of the Grey Electric Power Board last evening, there were present: Messrs J. Mul-

care (Chairman), A. Robinson. \V. H

Parfitt, W. Clayton, A. 11. McKane. J. Unwin, ,J. B. Kent, F. L. Tiirh-y, and ,1. Smeuion.

At a meeting of the Finance Com-; mittec. the following business was; dealt with: Mr J. O’Brien, M.P., ad-! vised that he had made representa-j lions on behalf of the Board to theMinister of Finance regarding the| Board’s Australian Joans. Mr ,1. W'.i Andrews (Mayor of Lower flutt.i, and the Hawke’s Buy Power Board,! ad’-ised that they will support the 1 . Board’s efforts to procure legislation in regard to its Australian loans. The I Thames Borough Council advised that : it, did not propose to lake any action I in the matter of the Board’s Australian loans. Tin* Secretary. Westland; org:- jiisa lion Centennial Exhibition.! wrote asking that each locality select an event, in its district for local celebration.- — It. was decided on the motion of Mr Kent to suggest "the sighting of New Zealand by Abel Tasman.” The secretary. Amalgamated Engineering and Allied Trades Union of Workers. wrote thanking the Board for the raising of the Assistant Linesmen's pay to 18/:’. per eight-hour day. ami other rates pro rata. The Town Clerk. Dunedin, advised that their housing scheme gives preference to the Council’s employees, and that the houses are erected by the Council, ami later transferred to the selected 'applicants. The secretary’s letter, desiring further details, from Dunedin. was approved. The Manager. State Advances Corpora lion of New Zealand. advised that, the sale of the houses may be effected by means of taking a. mortgage for the amount of the purchase price or by selling under agreement for sale and purchase. The report was approved.

PURCHASE OF POWER. The Engineer presented the following report on the cost, of power purchased and generated by steam: —The total k.w.h. purchased and steam generated up to December 31, 1937, were 1,332,046, costing £6193/14/2, an average price of 1.115 pence per unit. The segregated details arc as follow: — Blackball generation: k.w.h. 377.216, wages £lOl6/13/-, repairs etc., £lB2 4/10. coal £982/1-2/-. Total £2lBl 9/10, giving a cost per k.w.h. of 1.39 pence. TJie cost of putting the plant in order is included in the items for wages, repairs etc. Westland Power Ltd: The k.w.h. purchased were 924,tiy0 al Id per unit. The cost per k.w.h was 1.005 pence. Blackwater Mines: 30.140 k.w.h. were purchased from the Blackwater Mines Ltd, before the Blackball generator went into commission, but this was discontinued as the company needed all the available power for their own requirements. The cost per unit was 1.125 pence.

For comparative purposes under similar conditions as to load factor etc., the above total, power if it had been purchased from the Government would have cost approximately 0.4 penny per unit as against 1.115 d or expressed in money £2,220 1/6 against £6,193/14/2. Power purchase and steam generation commenced on July 20, 1937, so that the period to

December 31- covered 5 mouths and 1:. days. The maximum demand of the extra power amounts to 6-10 k.w. ,-md the cost on this basis is £2l .10/per k.w. year as against approximately £9/8/3 per k.w. year for similar conditions for Government Power. The average price obtained per unit sold h-st year, was 1.1 I’d all round, but it is'doubtful if this price will he maintained for the present, year, however, in the absence of the figures for units sold and revenue received to dme. it would appear that, the extra units purchased and steam generated have as separate transaction been turned over to the consumers as a whole without profit, er at the worst small loss. The Arnold Plain has i,f course been working throughout the year til its maximum output, and the increase in units sold from this source is very substantial, so that the overall working costs on power production notwithstanding should show a., very favourable, result. .Just how the other factors affecting the :-/.n<ral expenses of 11m Board which ■-•r.- peculiar to this financial year will affect (he final result. I am not prepared io say until such factors arc) nmr<- accurately determined. and finality is i cached in connection with the- settlement, with tin? Public Works l‘t. ’ ai l mein and the method of investing and disposing of funds determined. The report was adopted. E N GINGERS I < EI ’ O KT. The Engineer < Mr Sinclair Trotter) i presented the following report for the period. December 22, 1937, to January I 17, 1938: — i Arnold River Generating Station: — The units generated and maximum demands for the four weeks ending January Hi. were: —k.w.h. generated: Week ending December 26. 193 <. 25,8.2-It); week ending January 2. 1938 I (holidays) 1-15.391); week ending January 9, 1938 253.350; week ending (January 16. 1938. 297.690. Total units I for four weeks 954.670. k.w. max. I demand: 2394; 1620; 239 4; 2412. The (highest weekly load factor was 73.5 i per cent, and the lowest 53.1 per cent, j Units generated by Steam Generator were 45,315 with a maximum demand | of 240 k.w. The units purchased I were 117,900 with a maximum demand of 350 k.w. Summary: Total units fed to system 1,117,885; combined maximum demand was 2984 k.w. at 8.45 a.m. on Tuesday. December 21. 1937. The units generated and purchased for the nine months ending December 31, were 11,878,827 and the highest demand 3032 k.w. with a load factor for the period of 45.7 per cent. The outside staff have been engaged in general maintenance, alterations to system to arrange for total supply to be fed from Dobson, and connecting new consumers. The branch line at Nine Mile to connect the New State mine is under way. It was necessary to erect a new pole to divert the main Barrytown line last Sunday, where a slip had occurred on the road. S U P E K ANNUATION SCHEME. In accord with notice of motion duly given. Mr Smeaton moved that all resolutions regarding superannuation be rescinded. Introducing the motion, Mr Smeaton said that a clear majority of the Board’s staff was against the composite scheme of the National Provident Fund. He pointed out that this composite scheme would

rest the Board £'3ou a year more than at present. ami that the allowance made for widows and children under the composite scheme could not compare with corresponding provision under the A.M.P. scheme. There was in existence a gentleman s agreement between the Board and the A.M-P-Scciety, under which certain promises had been made by a. previous Board in regard to a superannuation scheme. In his opinion, the A.MjJ’- scheme was a much better proposition than the National Provident, and the fact that the majority' of the employees of the Board favomed the A-M-l’. scheme should be sufficient in itself to commend the scheme- The employees shculu be allowed to malic their own decision.

Mr liebiuson seconded the motion

Mr McKane said there was one point he thought Mi’ Smeaton had missed was that under the National Provident, scheme there was the possibility that all the Boald’s employees cculd join in., but under the A.M.Pscheme with the Board paying out of Its funds i.o subsidise the policies,!hey were just about al the limit of their iniaut heris«'d expenditure. and could not carry mole than two or three more employees than at present under the unauthorised scheme. Unless the composite scheme were adopted, they would not have provision for the full staff.

Mr Smeaton said he had not. forgotten the point, and knew that the unauthorised expenditure was becoming overburdened, but they could probably secure a. small amendment'1 o Mr Kent, the Chairman said the unauthorised expenditure was a percentage of the Board's income.

Mr McKane said it would be about £ luu a year.

Mr I’arlill supported the motion. The employees should have their choice' of schemes, and he agreed' with Mr Smeaton that they might be able to secure an amendment to increase the amount, of unauthorised expenditure. available-

Mr Turley asked what the resolution meant? Would future members of the staff be asked to join the present, scheme or the new scheme? He considered the motion moved by Mr Smeaton was cut of order, as the date and the particular motion or motions were not detailed, but. he would not pursue that point. The Secretary (Mr J. Denford) said that if the motion were rescinded, as suggested' by Mr Smeaton, they would go Lack to the A.M-P- scheme, and all the permanent staff, and additions to the permanent staff must join in that scheme. If the National Provident (theme were adojited, additional disLurscnicnts would be necessary out of the unauthorised expenditure. Under the present arrangement, members of the permanent staff had the old scheme, and for new members the composite scheme would be compulsory.

Mr Turley said he was in favour of superannuation scheme for the employees, and they should' have their choice while the rotten cthod of individual schemes existed, but. he contended that there should be a national scheme. He did not see anything wrong if it was going to cost the Board a few extra pounds. The staff should have the security of some scheme. He had been surprised to hear statements made by members of the Board that, the A.M.P. Society had

bold a threat over the Boards head that if they did not take up a supeianiiation scheme, they would get no money. Ho was not going io be tied to any gentleman’s agreement. Such agreements were not so good when the boot was on the other foot, as he knew insurance companies well. The companies did not care if the women and child) en starved when it came to a matter of legal obligations. Members of the staff, old and new, should be allowed to please themselves as to what scheme they took up, and lie was going to vote against the motion.

Mr Kent said that a few meetings ago he tried to get the Board to postpone adoption of a scheme until they saw what was to be done by the Government in regard to a national scheme. He had been over-ridden, however, and Mr Smeaton s motion now meant that all previous motions would be rescinded, and the staff could go ahead and do what they likedMr Unwin said he understood that the A-M.I ■ Society! loaned money to th- Beard, on condition that a superannuation scheme was taken out with the Society.

The ('hairman said the then Board wanted the money, and could only get it. Horn the A.M.P., but there were no threats about it. The Society suggested that they should get the business. having loaned money to the Board,, and the Board readily agreedMr Turley said he did not wish members to think that the A.M.P. was the only company he was referring to. The Government had got into the same rotten groove, and would not let anyone build a house with a Government loan, unless the owner took out an insurance policy with them. Mr McKane asked what the cost to the Boaid was with the thirteen members at present in the scheme?

The Secretary said that there were 1!) members, and the cost of the scheme was about. £260 a year.

Mr McKane said that for another £3lB, under the composite scheme, they could insure the whole staff of 32 members.

qhe Secretary, to Mr McKane, said that the National Provident scheme would average one and a-half per cent. more.

l\lr Unwin said he waiS going to vote against the motion. With Mr McKane, he could not see the Board carrying any more in the- insurance fund unless the Government allowed them to take it from some other source.

Air Clayton said he doubted if the Board could carry all members on the A.M.P. scheme. He thought the motion had come too soon. He would rather have seen it held over to see what the Government was going to do-

Mr Smeaton asked what amount of unauthorised expenditure the Board was entitled to use.

The Secretary: One per cent, of the income, about £5OO, roughly.

Air Smeaton said that the lirst scheme had been framed for meeting old age. Air J. W. Greenslade, when a member of the Board, had advised' them strongly to go in for a superannuation scheme, and not be like the

Borough Council, who had a lot of old men on the staff, —men who had been good servants but whom they could not . discharge because they would then have no means. He (Mr I Sineaton thought all members of the staff should have the benefit of a scheme, but the composite scheme

was too expensive, ami seemed that members of that would be saciihccd for the sake of the le - sion. He did not suggest that the Society had put any pressure on the Board, but when the earthquake trouble came, the Board could not get any money from the Government, or the financial institutions, and the A.M.P. Society helped them out. The Board members, in gratitude. had said they would go in for a. mmpraiinuatioii scheme with the company. Several members would benelit by the- composite scheme, but all would benefit under the old scheme. Ho pointed out. that the new scheme would cost one member of the staff 13/- a, week more, ami there was no clear statement, as to what the new r scheme would cost the BoardThe motion was then placed before the meeting, and was carried by live votes to four, Messrs Mulcare, Smeaton. Robinsen, Kent ami Parfitt supporting it.