PETROL ALLOWANCE.

Manawatu Standard, Volume LX, Issue 281, 26 October 1940, Page 6

PETROL ALLOWANCE.

TRADE'S DISAPPOINTMENT. PRESIDENT'S STATEMENT. WELLINGTON, Oct. 26. "Disappointment is hardly a strong enough word to express the feelings of the motor industry on the announcement made by the Minister of Supply increasing the petrol ration by what is stated to be 25 per cent, on the present allowance, ' said Mr C. R. Edmond president of the New Zealand Motor Trade Federation, yesterday. While 25 per .cent, might seem to be a substantial rise, it must not be forgotten that the July reduction was 33 1-3 per cent., he said. The increase meant that the 8 h.p. car would receive 5 gallons a month instead of 4; the 10 h.p. car 7£ gallons instead of 6, and the 15 h.p. car and upward 10 gallons instead of 8. Since the outbreak of war the Government had done their best to keep motorists and the motor industry in a state of jitters as to the future. In June, when the stock position was serious, the motorists and the motor industry agreed to a 33 1-3. per cent, cut to assist the Government to build up stocks, accepting the assurance that when the reserve stock position reached a certain point the cut would be restored. Some time ago this reserve stock was reached In the meantime, the Government decided that they would increase the reserve storage quantity by another 10 million gallons. "We then assumed that the July cut would be restored when this point was reached," said Mr* Edmond. "This reserve quantity will be in bulk storage tanks in New Zealand by the end of October. In these circumstances the motor industry did expect the Government to give effect to the assurance given and restore the ration as it was in June. Their failure to do this is more difficult to understand when it is realised that the importing oil companies could keep their reserve tanks full to capacity - even though the monthly usage was eight million gallons.'?

The motor industry agreed that the first consideration was the ; defence of New Zealand, but maintained that that was taken care of as ine storage tanks were full to their workable capacity and could be kept at that point. There was some obscurity as to how far dollar funds were affected by purchasing petrol, but the amount of. sterling or dollar exchange involved in giving motorists one million gallons a month was very small indeed'. The motor industry felt that throughout it had been a bad last in any consideration given to the petrol rationing scheme.