NEW POSTAL RATES

Gisborne Times, Volume LXXII, Issue 11451, 27 February 1931, Page 5

NEW POSTAL RATES

LETTER RATE FIXED AT 2d

NEWSPAPER RATE DOUBLE

la MINIMUM FOR TELEGRAMS IProas Association.) WELLINGTON, Feb, 26. Tliq new postal and telegraph charges are announced. Briefly, the changes are as follows: Letters, 2d, instead of Id. Post cards, Id, instead of id. Late fop, 2d, instead of Id, Packets, Id for each 40z., instead bf id for qach'Soz. up; to 21b., and 2d a lb. thereafter.

Newspapers, Id for each Soz., instead of' Jd per copy. Registration, fee, 4d, instead of 3d. Parcels, 6d a lb., for the first 21b. and 3d a Jib. thereafter up to 111 b, Fragile fees of Gd and Oil on parcels are doubled. Telegrams are increased to Id a •word, with a minimum of Is, with urgents at double that rate.

Night letter telegrams will bo charged Is for 24 words. .Radio telegrams will be increased from 5d and lOd a word to Gd and lid. '

The press rate of Is Gd per 100 words will remain, but a limit of GOOO words -nail be imposed on press messages for morning papers lodged after 5 p.m. Por evening papers the limit after 5 p.m. is fixed at 1000 words, words in cxcoss of those maxima being charged for at the rate of 3d each.

MINISTERIAL EXPLANATION

SUM OF £9CO,CCO NEEDED FOR CONSOLIDATED FUND ALL CLASSES OF MAIL MATTER TO PAY NEW RATES TO START ON MARCH 1 (Press Association.) WELLNGTON, Feb. 2G. Tlie Postmaster-General (the Hon. J. 35. Donald), in explaining the reasons for the increases in postage and telegraph charges, states the postage increases had been made in order to provide for the Consolidated Fund £900.000 per annum, which the Prime Minister had already intimated was to be obtained by such means in prder to assist in balancing next year’s budget-, and that tlie telegraph increases had been made in order to* reduce to a considerable extent the loss on the working of that branch. It was not anticipated tho increases in postage charges, after allowance is made for the falling oil in business to be expe.cted as the result of the increase, will realise more than th e amount required for the Consolidated Fund, and therefore the Minister anticipates that his department will not receive anything for itself from the increases, and will still have to be.ar a loss on the working of tho postal branch. V It should be observed, said the Minister, that the increases had been distributed amongst all classes of mail matter, and that in particular newspapers will now be charged for according to weight, and parcels in excess of 111 b. will not he accepted. It has been found that the cost to tho department of tho conveyance alone of heavy newspapers and parcels was much in excess of tho postage derived therefrom, and that in regard to parcels weighing above 11 lb., their acceptance could not be continued at charges that would enable business to he retained. Moreover, it was considered that the Railway Department makes adequate provision for the conveyance of parcels over 111 b. in weight, which were accepted by the Post Office only lor places served by rail or sea. In this connection it was mentioned that tho parcel post was established in order to provide, ready means for transit of small parcels and that it might reasonably be held that this purpose is fully served by fixing the maximum weight at lllb.

NEWSPAPER POSTAGE Regarding the altered rate on postage on newspapers nowadays, most newspaper companies make their own arrangements for delivery other than through the Post Office except to distant subscribers. The newspaper companies at tho four centres are now serving subscribers over a large.r area than when low newspaper postage charges were fixed, and axe issuing a much larger paper. It can hardly he said, that a halfpenny is adequate payment for delivery to any town, in New Zealand of a paper weighing from 6oz. to 140 z., but for a long time the Post Office has been paying much more for the transport of these papers than, was received in postage. “The parcel rates as now ordered are still very cheap”, said tho Minister, “and I have no doubt the public will still find it convenient and economical to send its smaller parcels through the Post Office. The other postal increases ai-e minor.

TELEGRAPH CHARGES UNPROFITABLE

As regards telegraph charges, said the' Minister, for some years past there has been a large increasing loss on the working of the telegraph branch, due to the fact that rates were not nearly commensurate with the'cost, of operation. As a matter of fact, the ordinary telegram rate has been 1 the cheapest in the British Empire. For tho year ended March 31, 1930, the loss was approximately £134,000, for the current year, it will certainly be larger. The average cost of handling a telegram from the point of lodgment until it reaches the addressee 'exceeds the average revenue per telegram by approximately 'sd,‘ despite the most rigid economy and the introduction of labor saving apparatus. It has been found impossible to reduce the. loss to any appreciable extent ' while the greater portion of deficit is incurred in the handling of : commercial and social business. 1 ... y,.

LIMITATION ON PRESS MES- ' ' SAGES' " The transmission of press traffic is also responsible for a heavy loss. It is only equitable, therefore, that the liewpapcr proprietors, as well as the general public, should bp called upon to pay portion of the increased charges. With this in mind, a' limit iis being imposed on the amount of press news that may bq transmitted under th 0 cheap press rate. The estimated additional .revenue that will accrue under tho amended telegraph charges is expected to reach £BO,OOO per annum, and while tins will lcav o a substantial loss it ■will place the telegraph branch in a much less unfavorable position, and assure as far as possible that the department as a whole continues to be self-supporting. The Minister explained that new rates were being introduced at short notice on March 1, in order to give the Government much needed additional revenue for one month of this financial year as a set-olf to some extent to the extraordinary expenditure and scHous loss of revenue in Hawke’s Bay as the result of the earthquake.

EFFECT ON NEWSPAPERS

COMPLAINT BY NEWSPAPERS PRESIDENT I ‘ U’resff Association-' WELLINGTON, Feb . 26. Interviewed on tb 0 subject of tho now Post and Telegraph regulations as affecting tho press of the Dominion the president of the Newspaper Proprietors’ Association, Mr C. W. Earle, stated that thq effect would be very prcjudical to the general public as well as imposing a heavy burden on newspapers. At the recent annual conference of newspaper proprietors, it was found necessary to take iinmediato steps to endeavour to reduce the cost of newspaper production. At tlie same time, it was felt to be eminently necessary to maintain an adequate standard of service to thq community in local and overseas news. Plans to enable these ideas to be given effect tp were in train when this bombshell from the Government was exploded. The doubling of postage on newspapers meant an addi tional cost of 13s a year to those of the public at present least able to bear it, that was to those living in outlying country districts. It would also check, to some extent at least, the sending overseas of weekly jourlials, which serve a valuable purpose in advertising New Zealand and its attractions abroad. The increased press telegraph charges, for that was what the proposals amounted to, must necessarily mean a heavy sertailment of the existing news services and of community interest between the different parts of the Dominion* which depend very largely on the knowledge of one another’s affairs. Wide and general circulation of news happenings at and between the different centres of population, was an important factor in promoting an understanding of one another’s problems and in breaking down parochial barriers, which impeded national progress. “With the charges now proposed, there must be a cut in the telegraphic news by at least 50 per cent., probably a good deal more”, said Mr Earle. “I have not had time to examine fully the effects of the increased charges as affecting newspapers, but, judging from tlie protests which have already readied me, they are regarded as being very farreaching and likely to bo very prejudicial to tho general public.”