STATE RAILWAYS

Hawke's Bay Tribune, Volume XXIII, Issue 73, 8 March 1933, Page 8

STATE RAILWAYS

UNCOMPLETED LINES

RIGHT OF DISPOSAL.

PROVISION IN NEW BILL.

Wellington, March 7. Authority for the disposal of unprofitable and uncompleted railways is contained in the Government Railways Amendment Bill. Where the Railway Board ceases to operate any railway, the Governor-General may, by Order-in Council, remove that railway from the control of the board, s»ll or otherwise dispose of the railway to any company willing to take and work it, s.nd may similarly sell or dispose of ary other property of the Crown held in respect of the railway. In making any such disposition the Governor-General may impose terms and conditions that he thinks fit, including conditions governing working and maintenance of the railway. Where work on the construction of any railway has been suspended or abandoned the Governor-General may dispose of it by sale, lease or otherwise and impose such terms and conditions as he thinks fit, including conditions as to the completion of the work of construction and the working and maintenance of the railway on completion. Power is also given whereby security may be required for due performance by the company of the conditions of disposal. Upon the introduction of the bill in the House of Representatives to-night by Governor-General’s message, Mr Forbes said that the bill gave the Government power to negotiate with private companies for taking over railway lines which had been abandoned. Inquiries had been made in the Gisborne district about the possibility of taking over the line there. He would not say that a company was prepared to take over the line, but the Government was Asking power to carry out negotiations in case some company did want to take over the line and run it for tho benefit of the people of the district.

Mr 11. T. Armstrong (Christchurch East): Why not put unemployed on to finish the line ?

Mr Forbes: It is not a question of finishing it. It is a question of running it after it has been finished.

The bill was read the first time. Mr. H. E. Holland said that if a private company could complete the line that was a reflection on the Government. Surely the correct policy was for the Government to complete the line. Instead of parting with the State’s assets they should be consolidating them. The line should be completed and access given to a large area of land. Completion of the line would mean that the population would grow there and the people would have transport facilities to an economic market. What a company could do the Government could do. EXTRAORDINARY STATE OF AFFAIRS. Mr. R. Semple (Wellington E.) said that an extraordinary state of affairs had been reached. They had already spent £3,500,000 on the line and now, when it was nearly completed, they were handing it over to private enterprise.

Mr. K. S. Williams (Bay of Plenty) said that no syndicate had yet been formed to complete the Napier-Gis-borne line and nothing could be done until the Government’s plans were known. The people of the district were only too anxious that the line should be completed. Mr. H. M. Campbell (Hawke’s Bay) said that local bodies had been anxious for completion of the line. Personally, he would like to see the Government put it through, but if they would not, someone else should do so. Ho believed that the line would pay if completed. It was a great pity to sec it lying idle. Mr. W. E. Barnard (Napier) said that there was an air of mystery about the Bill. The Government should not lose control of the line. There should be no question of selling the railways. Mr. D. W. Coleman (Gisborne) said that the people were most anxious that: the line should be completed but they wanted it completed by the Government and run by the Government. The bill was read the first time.