MONEY EARNERS

Grey River Argus, 4 September 1934, Page 7

MONEY EARNERS

BUSES IN SYDNEYSYDNEY, July 24. Svdney pepole are wondering whethler the New South Wales Government, jhas at last solved the problem of making the city transport services pay their way. For years they have been accustomed to deficits from the running of the tramways. Indeed, the position became so desperate not long ago that the Government forced till private buses off the road. From that time there was a distinct improvement in the tramway finances, but not until the year just closed did the trams show a profit. The profit was a small one, but it was welcome, indeed, after the heavy losses that hud been record ed. ’l'he Government decided that buses could not be dispensed with altogether, but determined that those services that were restored would be run under the control of the Transport Commission, which also manages the tramway system. Gardually the bus services were increased, and now only a few transport systems in the world are operating at a greater profit than the Government bus services in Sydney. For the financial year ended June 30 last the gross profits —excess of revenue over working expenses and interest at approximately 4 per cent. — was £42,679 on a capital investment of £63,129.

The gross profit was approximately, 68 per cent, and the net profit—the amount left after contributing £5646 to the Transport Co-ordination Fund and the allocation of £31,828 for/depreciation—was about 8.25 per cent. The contribution to the Co-ordination Fund was transferred to tramways revenue as a set-off against the revenue taken from the trains by the buses. With such a substantial depreciation fund, the Department of Transport will be able to purchase new buses without adding to the capital debt of the system. Fourteen new double-deck buses, four of which will be fitted with Die-sel-type engines, are on order, and further equipment will be purchased later in the year. The outlook at the present time is a particularly rosy one, even if it does spell death to schemes, providing for an extension of the tramway system. The policy now is to displace all non-paying train lines with buses. This should bring joy to the heart of the taxpayer.