Rail and Road Services

Manawatu Times, Volume LV, Issue 6788, 20 February 1932, Page 5

Rail and Road Services

Eliminating Wasteful Competition

ATTITUDE- OF RAILWAY DEPARTMENT

Per Press Association,

WELLINGTON, Last Night

The attitude of the Railway Department in regard to competitive motor and road services was briefly outlined to the Central Licensing Authority to-day by Mr. F. W. Aicken, who represented the Department when applications were made to the Board. There could be no doubt, that the Transport Licensing Act was designed and placed on tho Statute Book for tho purpose of securing certain definite results, Mr. Aicken said, four of which were of major importance. They were: (1) The securing of a considerable reduction in road costs; (2) the wiping out of the annual railway deficit due to wasteful competition of road services; (3) the reduction of production costs as affected by transport (a reduction in the cost of production would bo obtained automatically by the achievement of tho first and second objects); (4) the elimination of the unsatisfactory and'" uneconomic conditions within the road transport industry itself.

“We do submit that where the railway is adequately catering for the transport needs of any district or districts as a whole in the public interest, and tho road services are merely catering for a comparatively small number of individuals, a tapering off of road service passenger milea.gc should commence now,’’ said Mr. Aicken, “Also we think it should be coupled with, where the circumstances warrant, the fixation of road fares on such a basis as will carry into effect a reasonable interpretation of the sub-section in the Act concerned. ’ ’