NORTH AUCKLAND POWER BOARD.

Northern Advocate, 27 December 1934, Page 7

NORTH AUCKLAND POWER BOARD.

(To the Editor.) Sir, —At a recent conference of the above board with the Whangarei Borough Council, a member of the board, Mr Appleton, is reported as having said that respeetable people on hie side of the island always oppose the side taken up by the Farmers’ Union. As a member of a branch, 1 cannot take this “lying down.” I would say that at least this gentleman was very indiscreet. It is not his duty as a member of the Power Board to cast reflections on the Union, nor does that position entitle him to judge and decide who are or not respectable, unless his attitude is a recognised code of honour that qualified one to hold such positions. The stigma is directed at both sexes, who have no “axe to grind,” but desire to serve the best interests of their members without any consideration of £.s.d. That he was forced to withdraw his remarks counts for little. This was only a pretence of decent mannerism. The poisoned sting of his utterance remains. Fair criticism of the Union’s action is welcome, or a specific charge made that could be answered, but a baseless insinuation could hardly appeal to anyone with j a sense of fair play. The thanks of | the Farmers’ Union are due to Mr Barclay for demanding withdrawal. I will now proceed to criticise the North Auckland Power Board’s movements. Firstly, the “in camera” business creates a position of distrust in the minds of the future consumers of power. It is a recognised fact that the reticulation of the North will be unprofitable without Whangarei Borough. The latter have a contract for power that cannot be improved upon by the board, and are not interested. The outlook for farmers is so dismal that they will refuse to create a “prior mortgage” that will be necessary to install power. The majority are aware that they can install a Diesel plant for about the same cost as electric installation, that will do the milling and furnish household lighting for at least a third the cost

of electricity—as a matter of fact, some have installed these in the Waikato for once-a-day operations. In any case, the oil plant must be kept as a standby, in case of breakdown. Under the circumstances, there is no urgent demand for the electric power. The urgency is to find investment for idle money at a fair rate of interest on a long term, before the world drop in interest rates is known to the public. For their information, I would draw attention to the recent cables. The Federal Reserve system (America) has fixed the maximum rate of interest that may be paid by the banks at 2£ per cent. The Commonwealth Bank Board of Australia has fixed the following rates: For three months, 1 per cent.; for six months, U per cent.;, and their new rates on savings bank deposit are fixed at 2 per cent, up to £SOO. It is the North Auckland Power Board’s duty to delay any heavy outlay until such time as these low rates are available here. We cannot compete in world prices unless our costs are on par with other countries. This responsibility is on the Power Board, when they launch their loan proposals. Their .efforts should be directed with a view to consumers’ interest, not the disposal of power from a station that science and invention have—like many other costly outlays—made obsolete. I tender the same advice to the Power Board as the Mayor did to the borough—“go warily.” Farmers want a higher price level before “juice.” I am, etc., E. WOOLHOUSE.