HELP TO COAL INDUSTRY

Hawera Star, Volume LIII, 29 September 1933, Page 4

HELP TO COAL INDUSTRY

DISTILLATION! PROCESS (By Telegraph- -Preso Association.) WELLINGTON, Sept. 28. An assurance that the Government would not use its power to- impose an excise duty of 8d a gallon on motor spirit manufactured in New Zealand for the next five years wits sought by a deputation representing Coal Distillation and By-Products (N.Z.) Ltd., which waited on the Prime Minister (the Rt. Hon. G. W. Forbes) and members of Cabinet to-day. Mr Forbes promised Cabinet’s consideration of the matter, but pointed out that development of such an industry might mean a- reduction in the importation of motor -spirit, and therefore a reduction in the State’s revenue. The Leader of the Opposition (Mr H. E. Holland), who accompanied the deputation, said the company proposed establish high-temperature distillation works at Greymonth and low-tem-perature carbonisation works in the Bailor area. He himself would, have preferred such an industry to be developed by the State, but since the State had shown no inclination to act, a private company should be given every encouragement. It meant the salvation of the coal industry. Mr J. P. O’Brien, M.P.. mentioned that the development- would be a very important one for the West Coast. The company had a capital of £600,000 ready in- London provided the Government- undertook not to impose the duty for a -period of five years.