THE CENTRAL AREA LOAN

Nelson Evening Mail, Volume LXXI, 17 December 1937, Page 4

THE CENTRAL AREA LOAN

POWER BOARD’S APPLICATION REFERRED BACK FOR FURTHER CONSIDERATION •he Local Government Loans Board advised the Waimea Power Board yesterday that it had referred back the application to raise the Central Area loan of £65,000, and the Central Area Advances loan of £5,000, for further consideration, as it appeared doubtful whether the scheme would be a success financially. In this respect it was understood that it was the intention of the Waimea Board to meet any slight losses in the Central Area from the profits of the more closely settled districts in the Waimea and Motueka areas. The Loans Board had agreed to this principle in the ease of the well-established power boards which had built up adequate reserves, but it was considered that the area:; first reticulated in the Waimea district were not yet in a position to assist the outlying areas. In view of this the Loans Board suggested that it would be preferable to delay the reticulation of the Central Area for 12 months or two years until such time as the Power Board’s finances were in a more satisfactory position. APPLICATION AT END OF FINANCIAL YEAR Mr L. A. Higgins moved that application be m;*cU to the Loans Board at the end of the financial year. Then a position would be shown that would reassure the Loans Board. Tiie motion was carried.