A “CURRENT” PROBLEM.

Hawera Star, Volume XLVII, 7 August 1928, Page 4

A “CURRENT” PROBLEM.

(To the Editor.)

Sir,—Of things electrical your issue on Saturday contained quite a consignment, part* in serious vein and largely entertaining. In the latter category I would place Air. L. A. Taylor’s letter. He knows nothing whatever of his subject. and as it is rather unusual to wilfully-exhibit such lack of knowledge, I begin to suspect that he is more sarcastic than serious—that, indeed, he is poking fun at us. To think otherwise would be to reflect adversely on his perception, as he quotes in his own support a letter which expresses no thought in common, but rather advocates a course which Air. Taylor threatened to “fight tooth and nail’'’—that is lo; al body ownership. To accept the dictum that we continue our devotion to “the devil we know,” even when he giies us cause to know him only too wall, would mean the end of all progress. ' In different strain was the discussion at the Chamber of Commerce meeting—an august body which has at various times set out to create a new heaven and an improved earth, and finished up with merely a seat in front of the post ofiice and th© removal of the courthouse ience—although that minor contribution probably was, as explained, on account of lacking the co-operation of the Retailers’ Association. AVere we, in the riise of the Chamber, to plot in graphical form accomplishment against time, it would -be a keen eye that could discern any divergence from tho zero line. But that by the way. Mr. Dixon’s extreme solicitude for the interests of the ratepayers and his pathetic plea to avoid arbitration seemed to dislodge my “Adam’s apple”; I “felt as strongly” as he, and only restrained a sob by the thankful recollection that the said ratepayers have tho last word. Air. Dixon supplied a positive contradiction to a popular belief that one cannot “run with the hare and hunt with the hounds.’’ In the interests of the ratepayers (so lie says) and “off his own bat” he has penetrated the innermost archives of the Electric Company, secured information not available to any other outsider, and come to the conclusion that there is a spring sale on with everything marked down below cost, and that the public had better get on to it. His reasoning is simple—< more simple, I think, than most of the ratepayers are. I have heard Air. Dixon credited with plenty of “go”; surely lie would need it for the above accomplishment, and how he did it would /be of as much interest to ratepayers as his ultimate summary. But —there is’ invariably a “but” or an “ii”—a 12 per cent, investment to the ‘company would not be 12 per cent, to the board. In our simplicity we axe prone to examine the derivation of the revenue and the prospect of its ,oonti nuance, and such an examination prompts the utterance that if the ratio of income is to remain unchanged—if the current charges are not to .be brought more into consonance with other parts of the Dominion—the board might as .well dissolve now. That something 'along that line is possible has been demonstrated by the company, which, despite greatly increased capital charges, has reduced the cost of current 50 per cent, for radiators —since the power board got busy, mark you, although it may be'mere coincidence. Industrial power, the primary consider-; ation of power boards, municipalities, and companies, is not affected here. .1 have repeatedly asked why an electric motor in town should be assessed at 3id per unit of current, while a motor in the country (where distribution is more expensive) is rated at 2d for the same quantity by the same company. No reply has been given, but Air. Dixon mav have- that information also. I ' have further inquired why current should cost in the company’s district 2d, 3ld, 4d, 6d, Sd, and 9d, and appeal to Mr. Dixon tg enlighten me, as the position is unique. In regard to the claim that “private companies run their businesses more economically than- local bodies,” how long is it going to take members of the Chamber of Commerce and some others to grasp that in the event of the South Taranaki Bower Board taking over, it will start off possessed of the results (the finished product, fully matured) of tlie financial and engineering wizardry of private “enterprise.” . . Aly terminal reference will be to Air. Cameron’s query: “How is it that power boards do not show any. profits, and yet companies, of which this is an example, pay thousands of pounds in income tax?” Being a novice in aceountanev, L believe'it is because local bodies consider what consumers should pay rather than what they can pay. Has Mr. Cameron never.heard that on the formation of the Taranaki (not South) Power Board it endeavoured to persuade the Government to compel New Plymouth Borough Council to “disgorge” its electrical system because it shewed too much profit?—how much. I do not know, the extent of my knowledge being that it was derived from 25 to 50 per cent, lower charges than have ever existed in Hawera. And as power boards and municipalities own the electrical systems from one end of the country to the other, and these aro still solvent, enough information is left for a future contribution. —I am, etc., K.AGA.