Power Board Controversy

Manawatu Times, Volume 60, Issue 133, 8 June 1935, Page 5

Power Board Controversy

Time for Government Action

SAYS FEILDING FARMERS’ UNION

“The complete disruption between town and country interests over the deadlock that has arisen in the discussions between, the Manawatu-Oroua Electric Power Board and the Palmerston North City Council calls for some immediate action,’’ said Mr. A. J. Baxter at yesterday's meeting of the Feilding branch of the Farmers’ Union in introducing the subject of nationalising the reticulation and sale of hydro power. The position, lie said, had become very serious from the point of view of consumers and called for some action in the direction of settling the trouble. Hydro-electricity was a national utility yet country consumers were burdened with undue costs simply because urban interests refused to come into line and do the fair thing. As a matter of fact electric light was dearer to-day than the old-time kerosene lamp and while electric light was to be preferred it at least should be made available to consumers at the cheapest rate obtaining. This district was called upon to pay higher charges for a national commodity for reasons which should not exist and ho was greatly concerned over the situation that had developed between the board and the city of Palmerston North. He felt that the Farmers’ Union should take the question up and endeavour to do something. Mr. J. 11. Mason (chairman) said that, as a member of the Power Board, he preferred not to say' anything at the moment.

Mr. \V. McLennan understood that the position was that Palmerston North was allowed to purchase its power from the board because it held a license to retail electricity. He had been informed that the agreement had expired and that Palmerston North was not prepared to renew upon the terms offered by the board. At tlio present time,, said the chairman, the city was receiving power from the board under an agreement dictated by the Public Works DepartnUnt. That agreement expired on Juno 80 und whatever terms were come to between the board and the city would lake effect from March 31 when the last long-term agreement with the city for the supply of power expired. Mr. D. L. Younger agreed that the situation was serious but he did not Wnow what the union could do.

Mr. Baxter claimed that the question ivas of vital concern to primary producers and therefore they could voice some opinion with, the object of headquarters taking the question up. The chairman said that farmers were exercised over the question and could voice their protest. Mr. B. McLeod said that the union could press for the operation of hydroeJeetricity supply on a wholly national basis and he agreed that it was proper for Mr. Baxter to bring the question up. He strongly favoured the idea of the Government stepping in and nationalising the supply to consumers. The chairman also favoured the supply of “juice” being made on a national basis. In his opinion it would make the supply, as well as the cost, fair to nil. The trouble now existing he attributed to faulty legislation. Mr. B. W. Cowdrey supported the nationalisation of the scheme and “Tic was satisfied that with urban and rural interests pulling together, lower charges would operate for all consumers. Mr. Baxter then moved: “That this meeting of the Be lifting branch of the Farmers’ Union views with dismay Ihe breaking down of negotiations between the Palmerston North City Council and the ManawaluOroua Power Board and is of the opinion that the Government should at once

nationalise the whole scheme as was originally understood to be the principle; country districts being quite unable to economically run any electric scheme. ” Seconding the motion pro forma Mr. W. G. Short said that he did not like the Jast portion of the resolution. He thought that the country districts were paying their way and lie did not like the idea of creating a town v. country atmosphere. Several speakers expressed the view that a straight, out motion favouring nationalising of the scheme was preferable to that proposed by Mr. Baxter. Mr. Baxter, claimed that without the aid of the consumption of power by urban population the country could not run the supply economically. It was admitted that where urban interests combined with the rural interests, costs were reduced. Following further discussion Mr. Baxter submitted the following motion ill substitution for his Jirst resolution: “That in view of the situation disclosed over the negotiations between the Manawatu-Oroua Electric Power Board and the Palmerston North City Council, this meeting is of the opinion that the Government should immediately nationalise the reticulation and supply of iiowe r. ” This was accepted by Mr. Short and carried unanimously.