GAS FOR TAHUNA

Nelson Evening Mail, Volume LXI, 14 January 1928, Page 7

GAS FOR TAHUNA

REPORT BY CITY ENGINEER ,-j;,. _■,■ At the City Council meeting last eventing the City'Engineer submitted *he ap.-.r pehded report concerning .art extension;., of the gas supply to Tahuna:— [ ■" Judging by results in. Auckland in the matter of water supply and in .. tone in the matter of gas supply, the extension of municipal services to districts beyond the city boundaries, is a dangerous policy which must inevitably/' result in the Council losing control of its own undertakings. The fact of granting supply implies, willingness to give a satisfactory service a rid: when'such . service has once' become establishing it cannot be discontinued,.or restrictions - imposed without consent of the, consumers, no matter what conditions may be contained in an agreement to supply. The question of .supply to Tahuna was , ; fully gone into in August 1925 (Reports : \ p 396) and lam not aware that., the . position has changed- materially since; ;' that" date. In that report I recommend*'."" ed as follows: — , "As a business proposition between Local Bodies, which is the only basis on which the proposal should be entertained, the Council should deliver the gas in bulk at the Town Boundary and Tahuha should provide its own-mains--and'--, services and conduct the business as its,-: ( own. It would be necessary -to -extend'the present six inch main which terminates near the wharf and to put in a district meter. The cost to the Council would oe £20(0." , i( i It should be distinctly understood that the cost stated is only an estimate and, not a hard and fast sum. As Tahuna is not' a ratepayer of the City and has contributed nothing'to the."-" establishment and maintenance of the works it would not be a fair proposition , " lor the Council to spend £2OOO on tin supply and th.cn treat Tahuna as an or- ~ dinar'v consumer The uiidert-.d-inrr is valued at £65.000 of which £17,000 Jfi treated as n debt due to tlie General Account and on which the works pay £BSO jjer annum by way cf interest. /. ... ■ Tahuna would undoubtedly acquire an interest in the works if simply is grant,., ed and it should not be allowed to ad this without paying its footing. The question is, on what basis? " I do not. agree that supply in bultc should be at a cheaper rats, or even at;..-.. the same inte, as the town supply because the district, supplied has to find its - own distribution. Every consumer has t'ji find his own reticulation and appliances and he gels no rebate on the prio.a of the gas consumed because he does so. The- gas is delivered in bulk at cvei'j consumers connection so that there is • rot the slightest difference in this respect between Tahuna and any other consumer, and the price should not be less to Tahuna as a district than to any consumer in the City. ~'.„.,, There should be an annual fixed ;; charge, sufficient at least to nay interest..., sinking fund, and depreciation £ alterations and extension of the mains, m, 'and on a reasonable proportion .-,,/ .the ; capital value of the works. This should he a charge quite apart ,from the,pßie> ; ;. to be charged for the gas. _ .«■***•• The Council should retain strict control over the size of the distribution •nains and services and should not grant- - the supplv except on this condition. The report was referred to committee. •