DOMESTIC LIGHTING

Grey River Argus, 17 June 1943, Page 4

DOMESTIC LIGHTING

REDUCED BY PENNY A UNIT Grey Power Board's Decision At last evening’s meeting of the Grey Electric Power Board It was decided to reduce the domestic lighting charge from 6d per unit to 5d per unit, i

The engineer and secretary at the last meeting were directed to bring down a report showing the estimated cost: of a cut of Id per unit in the domestic lighting charge. This report was before the board last evening. Mr. J. Smeaton, in opening the discussion, said that he had read the report carefully. He considered that the small consumer had been paying a high price too long. The profit for the last year was £9,000,, ancl if the domestic rate were reduced he considered that much more power would oe consumed. He said that Mr. Blancrfield’s motion at the last meeting ‘that consumers paying 6d a unit be allowed a rebate of If) per cent, if the account was paid by the due date’ was not in the interests of the working man, as it was always the poor who defaulted. He also considered that there was no danger of tnei price of gold going down to £2 or £3 per oz., in which case the dredge would go. Instead the tendency: was for the’pric e of gold to increase. He would therefore moye that the domestic lighting rate “be 5d per unit. Mr. P. Blanchfield said that he must take Mr. Smeaton to task. It was a reduction that he had proposed at thei last meeting, not a discount. In the event of the' charge for domestic lighting being reduced by Id a unit, it would mean £2,000 out- of a: profit of £9,000. Mr. W. Parlitt stated that two or three years ago the board thought that a reduction should be made aa soon as possible. Unlike a company, the board- did not have to pay income tax which he said would amount to £5,000 out of the £9,000, and he considered that some of it should be given back to consumers. In 1928 the revenue was £9,Q00,- now it was £BO,OOO and now the overdraft was reduced, too. Mr. W. Clayton said that although the move might be popular, it might not! be wise. The board’s costs were going up and the profit might not last. The country districts should be reticulated. The Reefton areas were coming in and the country, rather than the town consumers should be catered for. Every man in the country should have power available. “Reticulate first and then reduce charges,’’ he concluded. Mr. Kent congratulated the secretary and engineer on their fine report. It was not quite so easy to reduce tariff. There had been no defreciation funded since 1937. There were no funds available for new premises He quoted a report saying that standardisation of tariffs was coming. Electricity made people economically dependant and thus developed co-operation. To giye one section an.advantage was the antithesis of co-operation. He therefore moved as an amendment that a committee comprising the chairman,

the secretary, the engineer, and “the mover” be set up to revise; the present traiff. the reduced rates .to become effective at the beginning of the next financial year. He said that it would .be unusual to reduce the rates after the estimates had been prepared and passed. Mr. Clayton seconded the amendment.

Mr. W. Fisher supported Mr. Kent. He considered that the country districts should be reticulated first. There were several gaps, notably Inchbonnie and Barrytown. A Mr. J. Unwin said that he agreed that t'hg country should be assisted more, but war conditions made. this impossible. In intelligent anticipation and faith in the future he supported Mr. Smeat-on. In the future

Boards and Supply Authorities might not have to worry about rates and. supply, because the Government might decide on a flat rate. Then the reticulation of the country would be assisted by a proposed common fund under the Public Works Department. They were taking a risk, but with continued service from the executive, officers they would be able to do it. Mr. Blanchfield, denying that he was seeking popularity in his consistent advocacy of a lower rating, said that the board, with its monopoly, could bring the charge down to 4d a unit. The setbacks that they had experienced in the past were not likely to occur again. The chairman said, that although he was probably paying more for domestic consumption than any other member, he did not feel any hardship. He was: quite prepared as a consumer to help reticulation. He found it rather difficult to see the board’s assets, but he shared in Mr. Blanchfleld’s idea. The rate was raised against the board’s will last time. He considered that a twelve months’ deferment would meet the situation, and then the reticulation could be on this year’s profits. ’ On being put to the meeting, the amendment was lost. . The motion, to be put into effect at the end of this month, was then carried.