SLOWING DOWN

Hawke's Bay Tribune, Volume XXII, Issue 147, 7 June 1932, Page 8

SLOWING DOWN

RETRENCHMENT AT WAITAHI, MORE MEN PUT OFF. Wellington, June fl. As a further step toward the curtailment of expenditure by the Public Works Department it has been decided to put off a further large batch of mep from the Waitaki hydro-electric works in the South Island. Arrangements are being made to retrench these men almost immediately. Hydro-electric undertakings are being reduced by the department to an absolute minimum this year in view of the fact that, in accordance with the Government's campaign, tho estimates for new hydro-electric supply work were cut down from £1,069,000 (which excluded working expenses) to £300,000 for the current year, a reduction of £769,000 as compared with 1931-32. It was stated by the Minister of Public Works in his policy stateacat in the House on March 2 that the reduction in the money supply wwul necessitate the reduction of the at Waitaki by two-thirds aid possibly more.

Mr Coates then pointed out that the lengthening out of the job would add to the cost by reason of capital already expended remaining non-iscome earning for a longer period than was at first anticipated. In other respects the work of construction had reached a stage where, if a halt in expenditure had to be called, the present was an epportune time to do it.