South Island Trunk Railway.

Mt Benger Mail, 16 September 1931, Page 2

South Island Trunk Railway.

CONDEMNED BY RAILWAYS BOARD. STOPPAGE OF WORK RECOMMENDED. Wellington. September 10. Drastic recommendations for the cessation of railway lines under construction are contained in the inaugural report of the Railways Board, which was presented to the House by the Hon. W. A. Vcitch this afternoon. The Board considers that the completion of the South Island Main Trunk is not justified and recom- , mends that work on that undertaking be stopped. It also holds that construction is not justified of the Waiotira-Dargnville. Okaihu-K-anghihua, Kawntiri-lnanga-him. Westport-inangahua, and NapierGisborne tines. The Wharanui Parnassus section, which completes the South Island Ma n Trunk, is dealt with first, and the board supplies details showing the cost to March 31 last as £415.239. and the estimates of £2,341,700 as the am oust required to finish section. The total capital cost for the undertaking is estimated at £2 757,000. the average cost per mile being £30,276 The board states that the actual experience of South Island lines shows that during the last six years the gross revenue per mile averaged annually £2,671, while the ratio of operating expenditure to revenue averaged Sit per cent. The total present annual loss on the operation of the Picton-Wharanui and Parnassus-Christehurch lines is g.v.-u at £73.157. The estimated increase in the annua) loss on the line Picton to Christchurch, if completed, is shown as £99,753. The board is of opinion, therefore, that the proposed new route via Picton would not supersede the present Wellington Lyttelton route; and, with regard to competition in tb.e district itself, the board considers it reasonable to anticipate that, a- motor.-, are •already running in competition with the Railway Department’s express services, similar conditions will arise between (’hn.-tchurch and Blenheim. Discussing the aspect of development of tin- country in the uncompleted section, the opinion is expressed that, ex eept for one or two comparatively small areas unsuitable for very close settlement, the increased production from the area would not be great Even if the railway was constructed heavy expenditure for loading would he required, but the quality of nundf of the land would not justify the road, jug costs, much less the cost of the rail way in addition. On a most optimistic view judged as a Main Trunk line, the net result would be an increase of £tW,7.»3 pel annum in the annua! loss on th’ 1 rail wavs, wh eh would not repre-enl th full !os s likely to be experienced. The board also considered whethei the completion of the hue might not be justified from the present Pumas mis terminus northwards to the Pent wav River, but eaiue to the decision as in the ease of the propose.! roe.true tion southwards to Clarence U ver. that there was not a reasonable prospect of decreasing the present operating losses.