RAILWAYS STATEMENT.

Manawatu Standard, Volume LIII, Issue 284, 28 October 1933, Page 6

RAILWAYS STATEMENT.

lx view of the exceptional times the Railways Statement must be considered satisfactory. It was announced in May that the year had closed with net revenue of £850,544, compared with a Budget estimate of £740,000, but the amount fell short of meeting interest requirements by £1,380,111. But for an increase in these charges of £9,190, making the Department’s liability £2,230,655, there would have been a much better comparative return. As the Statement sets out the year has been one of many difficulties. The awaited return of better traffic business could not be realised, and the revenue showed a decline on the previous year’s figures, it being £2,700,000 less than the returns in 1929, since when there has been a progressive decline. The Board has therefore been compelled to still rigorously apply the. priming knife, and its savings in this respect account for the net revenue it has been able to provide towards meeting its interest bill. But —and the fact has been pointed out on other occasions—there is a limit to movement in this direction, and the Board gives a warning of the difficulty it is faced with in- obtaining further economies. In a recent four weekly return it was shown that expenditure on the working of the system had increased slightly. That may or may not mean that costs hai'e been reduced to a bare minimum, but it is at least significant, and it implies that an improvement in the position must now be looked for from the traffic branch. One interesting and gratifying feature of the report is the increase noted in the number of ordinary passenger journeys. It is the result of lower return fares instituted two years ago, and though the response did not meet the loss of revenue entailed in the reductions, the decline in passenger traffic was converted into a substantial increase. The Board’s policy of exploiting travel ideas is to be commended; also the development of special passenger business which has been markedly successful, the public’s support being evidence of appreciation of the better facilities for travelling on special occasions. Both revenue and tonnage derived from goods and live stock carried have decreased to a substantial extent, and it will be hoped that this year will record an improvement. Branch line business has again been disappointing, but . economies and efforts to stimulate traffic have averted a greater operating loss. The policy in this direction is to hasten slowly and endeavour to secure the best results before deciding to close any line. Eor this financial year the Board estimates a contribution of £720,862 towards the interest charges. In view of the burden the general taxpayer is shouldering, it will be sincerely hoped that the Board’s policy will return a better harvest'this year, and that in accomplishing this no avenue which will return greater revenue will be left unexplored.