THE NEW ORDER

Manawatu Standard, Volume LI, Issue 117, 18 April 1931, Page 8

THE NEW ORDER

effect on railway CONCESSIONS.

STATE’S POLICY DEFINED

(By Telegraph.—Special to Standard.) WELLINGTON, April 17. What will happen to railway concessions under changed control, lhis question was brought P - into the Committee discussion on the Railway Amendment Bill m the House of Representatives to-mglit when Rt Hon. J. G. Coates asked the Prime Minister if he would give an explanation as to how lie proposed to overcome the difficulty di present concessions of free carriage of school children, free carriage of lime for 100 miles, low rates on fertilisers, etc. Would these be a charge against the Consolidated Fund Would the present concessions on the cai riage of fruit continue. , j Mr C. A. Wilkinson: The board will determine those points. Mfj Co TTiogan°"N-“- g “«'-^» • T M, B SaS,“«pM that these »e» matters of Government policy where the railways had to provide at a loss for special services. He would ask from the Prime Minister an assurance that under the Bill the c°ncessions to farmers should not be changed unless recommendations were made to Parliament and approved, when it would be a fair thing to ask the Consolidated * und to help the “These concessions will be a matter for adjustment between the Government and directors,” saul Mr horbes in reply. “The first thing they as business men will do will be to hsubmit that the railways are carrying fertilisers below cost, lime free or tariff and school children below cost —all matters of policy. They expect the Government to make up to the railways the loss that would be made in carrying out the general policy of the Government.

Reform : Hear, hear ! The directorate would insist on asking the Government to bear that loss and to see that the railways got a fair return for the work they did. “When the general policy of the Government comes into the region of railway policy an adjustment will have to he made,” concluded the Prim© Minister.