NEW ZEALAND RAILWAY RATES.

New Zealand Herald, Volume XLVIII, Issue 14680, 15 May 1911, Page 9

NEW ZEALAND RAILWAY RATES.

; ; 'curiosities of the tariff.

exthaordinary anomalies.

' 'V* the subject of the goods tariff on the • .«il«,v s , Mr. "• B. • • t atous as follows Anyone seeing ' ' yof the official rates for conveyance I over the Now Zealand Govern- ' ' ,nt railways might assume that the -classified rates " therein set forth wore as iLle as those for passengers. Such, Soever, is far from being the case. ' "■ Wherever there is any chance of competi- ' . • „ bv sea or river " local "—and much I; -]oWer— mtos are charged to meet the comPC" inasmuch as the Main Southern vl from to lnverwrgill 1 close to the sea, and most of -its T • i pa i stations are seaport towns— Lily connected by water-tho exceptions f "classified rates" are so numerous that, speaking broadly, the latter can hardly be aid to apply at all. 5 To the lay mind the classification of ' oods is a cumbrous and very complicated B (fair It is, however, based on the very ■ obvious principle that it is worth more to carry costly goods than it is to carry ' cod's of a low value - A to " of tea, for example, may be worth £140, and a ton of flour £10. The tea is more easily damaged than the, flour, and is useless in a ■ damaged condition. The Hour may servo for pig feed, even if it be in 11 damaged condition. The Railway Department has to' assume responsibility in. both cases, and r to provide for the risk it puts the tea into ' diss A, on which the freight for, say, 100 miles is 49s 4d. The Hour is put into class K, on which' the freight for the same dis- ■ tance' is only 9s Bd. ■' ' There are, in the official tariff, about \ 1200 specified kinds of goods, which are ' grouped into '13 separate classes. The groups are classified under different letters from A to Q. Most kinds of merchandise, such as drapery, groceries, liquors, fencing - wire, galvanized iron, agricultural and other machinery, come under one or other of the first four groups, viz., A, B, .'C or D. More costly goods, or those considered most risky to carry, or most liable > to damage, are naturally charged tlio highest, freight, under class A, and so on • through the other three classes. Glass K "includes cereals and most kinds of agri- ■ cultural produce. F is reserved for hay, " chaff, green flax, tussock grass, broken . glass, stable manure, lime, and such like, goods. H is for wool only. K for timber. M for live animals. N for ores, scrap metals, drain pipes, imported cement, . and coal, etc., etc. 1' for native coal. Q for rough stone, drain tiles, etc.

How the South Benefits. It is not easy to make such a question • interesting reading, or to write in a pic"turesque vein about railway rating. But V? in view of the interest that appears to he taken in the subject at the present k .time, I do not think I can do better , than •'•enter a little into detail to illustrate the .'I ieffect of competition. We will begin at •'page 79 of the official book of rates, where, " under the heading of Bluff-Hurumii section, .Ave find that, the first exceptional rate is ■ 'on 10-ton lots of goods ex ship, i.e., goods arriving by ship at, Day, Lyttelton, and . destined for any one. of the towns south ■ of that port. Ten separate stages arc " scheduled, and in'all cases classes A, B, ~",C, and D are ret aside, and one uniform , rate ,per ton for each stage is charged, .f' .To enable a comparison to be made, I : ."find that the average charge over the 10 . .'separate stages under "classified rates" • ' for each 100, miles would be 45s 7d per V';ton, The -'-'local rate" per 100 miles >, .works out at 21s per ton. ■ ; From Christchurch to Timaru, a distance of 100 ] miles,- classes A to D are \ y.:. 4. ■ ... .. • - . ..... - • ' . ; , ,again merged into one (page 79). The ~ average co3t of sending a mixed consignment of these classes, in equal quantities, . at "classified rates/' would be 37s 9d per r , ton. The actual all-round "local rate" '. is 18s per ton, or rather less than half. ■ Cambridge is 101 miles from Auckland, or almost exactly the same distance as " Timaru is from Christchurch. Tho Timaru farmer or trader gets his supplies ' from- Chns<church at 18s per ton. The Cambridge man has to pay 37s 9d. This i, ,-is supposing tho consignment to consist . of an assortment of goods of each class, Ato D. If, however, tho Cambridge • .man's goods consisted exclusively of, say, class A goods, he would pay class A rate ■ for 101 miles, 47s 7d a ton, whereas the j - Timaru man wbuld pay 18s. Southern places near to largo .centres, '; as well as those far off, have their "local . ,rates." Amberley (page 82) is 34 miles north of Christchurch. Class A, "classified" at 22s Bd, class B at 19s, Class C at 16a Id, are all levelled down to class D, at 13s 5d per ton. It is interesting to note that on the Whangarei section (page ■ 66) classes B, C, and D are all levelled ;up to class A. The effect is that whilst an Amberley man gets a mixed consign- " ment of goods from Christchurch carried at 13s 5d per ton, a settler on the Whangarei section would have to pay 22s 8d en the same goods for the same distance. 1 , 0 Cluistchurch to Rangiora (page 82) — 20 miles—enjoys its " local rate." Classes A E, C, and I), which work out at ' . classified rates" an average of lis 3d per ton, are levelled "down to a uniform rate of "a. which, by the way, is "inclusive of collection arid delivery within the borough."

Kaiapoi (and Christchurch (page 82) - !'? v ® their "local rate." The distance is }? miles. 'Classes A to D, which at •,, classified rates " work out at an average /W 8s 5d per ton, are levelled down to a . uniform 6s. Southbrook and Christchurch, 19 miles, (page 82), have a "local rate." Classes . 11, C, and D, which work out at an - ■ average "classified rate" of 10s 9£d, are -carried at a fixed rate of Bs. -' r The "classified rate" for frozen meat, pairfield to Belfast (page 84), 58 miles, ;is 19s 5d per ton. The " local rate" is ■ •*OB.

V Pelts are carried 91 miles, from Smith- - held to Islington (page 04), at 18s per ton. Iho "classified rale" is 25s 4d. - Oaraaru and Port Chalmers are 86 miles (page 85). The. " classified rate" , or dead meat, class C. is 31s 6(1. The ~ actual "local rate" is 15s. , On stone, class Q, the " classified rate" ! s n 4d per ton tor 86 miles, but it is • ° €3l rated .(page 85). from Ouniaru to "frt Chalmers, at 5s 6d. ■ , Lawrence, so far as my memory serves, , ..M?t 11 seaport, still it has its "local - fate (page 80). It. is 60 miles from Dun- " !?'t> Class A, " classified " at 36s 2d, x u t Bd, are taken as class C, at ■I ■ "l a. ton. Auckland to Ohinewai is '80 60 miles. A Lawrence farmer or A smim pays 26s 2d for a ton of class ? a goods. The same man at Ohinewai ■■■■-Would pay 36s 2d.

r. "■ a Inecl'!'1 nec l'!' ami Invereargill are 139 mile; rat" , Naturally they have this " loea • ]p n e (Pago 86) or steamers would soor [' AVR p l!,ilw ay .truck* empty. Clmtge: 'an ! -> O are ignored. Thev work ow j -n average vat(! of £2 4s 3d per ton. Tin a £» m*" (l«go 86) is 18s. i II '■ fcer, consignment of equal weights o ' ' froiri Se r!'' su ,? al ',< soap, and galvanised iroi i"; la, . ~ unet '* n to Invereargiil von Id cost S alsn'uo"' •> '" m Auckland to Paritikoua, iM .Sum,;™ mil f s < '-'f cost would be £2 4s 3d. ' .llvl n l owevi) i'j 27 eases of kerosene, Iffi Atiptif' , t . . Ben ' ; over; both routes, the > 1 19.h -j nd-L iritik m freight would ho £2 fruiWu t a ' lf | 'In! Diuiodin-Invorcarcill '\ 4 i 2 ' both exactly the yamo distance, ll '

i J 1 ' o ™, Wellington to Mangaonoko, also 139 miles, the height would again be on the higher scale, £2 19s Id. It is worth noting that the market value ', f\ f-i S n S of kerosene in either port is In" hint • ft' ? e Al,ckland and Wellington freight works out at about 28 per cent on the value of the article; the Southern freight at about 8* per cent. For iiinnn l 'r? the Department accepts no C • V° 1 ' damage. It is carried at owners risk.

Diversity of Local Rates. ... There is a curious diversity of "local I'ites oil short distance stages. Take three examples at random. Onehunga and Auckland (page 67) are eight miles apart. ... asses A to J), which work out under classified rates" at an average of 5s lOd per ton, are carried at an all round "local rate of 4s.

_Kawakawa, and Opua (page 66) are also eight miles apart. ' Classes A to D are once more ignored. Nothing is carried below class A rate, which is 6s 6d, or £S Oct a ton higher than the same distance bet we,en Auckland and Onehunga. The local rate" in this instance has an inno-cent-looking clause which permits goods to be charged either by weight .or measurement, "as the Department may direct." Let us see what may result. A consignment of light drapery or fancy goods, weighing wt may measure a ton. Tho freight by the Department's ordinary standard, which is weight, would be class A scwt at 6s 6d equals Is Bd. But as the Department has taken the right to charge by measurement, it would probably be one ton measurement equals 6s 6d. Brunner, on the Otira line, is eight miles from CJreymouth (page 75). Again "classified rates" are set aside. Classes A to 1) have a "maximum rate" of 5s a ton, instead of the average classified rate of 5s lOd. Whether the expression "maximum rate" means that lower rates may be charged if the "Department may (so) direct," does not appear upon the surface. Westport to Mokihinui mine (page 77), is 31 miles. On this section, too, classes A to D are all levelled up to class A. The average "classified rate" for the four classes is 16s 5d a ton. The class A rate, which is the. all-round charge, is 20s Bd. The higher charge on these short lines is presumably made on account of the insignificant quantity of goods carried. To fairly realise the position it must be remembered that Auckland is not without its long-distance "local rates." It is 148 miles to Thames by rail, and, as everyone knows, steamers compete for the goods traffic. Class distinctions are once more abolished (page 68). A, B, C, and I) goods, which at "classified rates" work out at an average of 45s 9jd per ton for the 148 miles, arc carried at a uniform rate of 255. A Thames storekeeper gets 27 cases of kerosene—about a ton weight— carried for 255. but the same goods carried 146 miles to Foro-o-tarao on the line to Taumarunui, a few miles beyond Te Kuiti, costs 60s lOd for freight. Paeroa is 128 miles by rail from Auckland. It, too. enjoys its "local rate" (page 68). under which sugar is carried at 18s a. ton. instead of the "classified rate." class B, 42s'6d a ton. Fencing material, galvanised iron, and certain other class D goods '"classified" at 30s per ton are also carried at 18s. Te Kuiti is 126 miles from Auckland. Sugar from Auckland costs 45s lOd per ton freight, against Paeroa V 18s, and class D goods 29s 9d. The Te Kuiti man must get his goods by rail, or do without them. The Paeroa man has the alternative of water carriage.. It is interesting to note that the railage of kerosene to say Pokako, almost exactly equi-distant between Auckland and Wellington, would be, class A, £3 lis lOd, which is about 34 i per cent, of its value in either city. A ton of sugar would .(class B) £2 17s 4d to send to Pokako from either end. The value of the sugar is about £15, so that the.freight amounts to about 19 p<*r cent, of its value. Both rates were fixed at the inception of our railway system, when kerosene was four times and sugar three times their present value. : It is obviously absurd to class a cheap commodity like kerosene with such things as plate glass, furniture, tea, etc. As Farcical as a Comic Opera. The anomolies of rating are in many cases quite Gilbertian, and as funny as anything in one of the comic operas. A . few instances as they occur - to memory may be quoted. We have seen the percentage of freight on the value of a ton of kerosene—but supposing a settler wants a modest tin of that commodity carried 100 miles, the charge under "scale for small lots, to 2s 6d, which jumps up to 62£ per cent, on its value. If I order fencing wire and the staples to fasten it to the posts, I am involved in two "classes," viz., D and C. The ordinary settler or trader ordering a ton of Mason fruit jars is charged glassware A freight on 100 miles, £2 9s 4d. Should his merchant's conscience allow him to describe them as empty bottles," the saving will be considerable. They will go as class C for £1 13s 7d. If ii Rotorua resident orders a bundle of fresh fish from Auckland, the charge is sixpence, but should the weather be sultry, or fresh fish not obtainable in time for the morning train,' and the fishmonger substitutes smoked fish, the charge will be Is. The sportsman sending a brace of pheasants weighing 71b to his friend, pays a modest sixpence, but if the farmer sends a pair of fowls the charge is doubled— unless he puts them in ft bag and calls them "game." If I send 561b of New Zealand fruit or vegetables, they will go from Auckland to Wellington (page 36) for sixpence— if I send potatoes they come under class E, scale for small lots Is lid. A parcel of 561b of mixed onion, tomato, and other plants, if described as "plants," come under class C, and would cost Is lid to send 100 miles. Should I venture to describe them as "vegetables" the charge would be sixpence. Whilst 561b of fresh fruit would go from Auckland to Wellington for sixpence, the same fruit put into bottles would cost — under Class B—4s 3d. Enough has probably been said to explain to the ordinary reader the difference between the " classified rates," which on the surface arc applicable to the New Zealand railways as a whole and the "local rates " made to meet present or possible competition by water. What Railway Managers Say. The question is no new one, nor is it more striking in its effects in New Zealand than it is in other countries. The English farmer complains bitterly that his competitor in Siberia, Denmark, Brittany, Italy, or America, can get his produce carried over English railways at a much lower rate than he himself can. _ The English railway companies' retort is that steamers charge a through rate, and if railways did not lower their charges to meet the steamers the latter would simply ignore the railways, and distribute the cargo at the different ports themselves, instead of making London the chief distributing centre. Precisely, the same retort is made by the managers of the New Zealand railways. Complaints are frequent, that Southern lines earn a lower rate of interest than those in the North. Suppose they abandoned the goods" traffic on the Hurti-ntii-Bluff line, and allowed the coasting steamers to capture it, the returns would presumably be a good deal lower, unless it can be shown that goods are, under existing conditions, carried on an actual loss. Oamaru is a comparatively stagnant port. It has been so for many years, In 1879 tho Harbour Board borrowed £100.000. In 1909 the interest alone was £102,000 in arrear. The Board offers £50,000 in settlement of principal and interest, and alleges that railway competition has killed the port, and is the cause of all its troubles.

The topography of the South Island caused the main line to be carried along the cast, coast. That of the North Island favoured the construction of a central line. The latter is tending enormously to the development of the country. This is shown by the extraordinary rate of progress of this island during the last few years. It will, 1 have- little doubt, be much more- apparent as time goes on. in spite of the much higher rates wo have to pay on certain classes of goods. A monopoly is a pleasant thing— to the monopolistand even a- democratic Government in this most democratic of countries, does not always refuse the golden opportunity a monopoly affords. It has been alleged that the average passenger faro is less in the South Island than in the North, which is doubtless true. The fares, however, are in both islands the same, with a few exceptions on our .North

Auckland lines. Why these should be singled out for exceptional and higher fares is hard to imagine. Possibly on account of the smallness of the traffic; but higher faros are not generally regarded as conducive to increased travel.

The South Island is, of course, the granary of the country. Nearly nil the cereals the Dominion produces are carried over the Southern lines. Comparatively little is carried over the Northern system. Our supplies are brought by water, and the great bulk of the consumers are within a. short distance of the ports of arrival. We have seen that cereals are carried at very low rates—so that apart from the question of local rating" this fact must have the effect of reducing the average rate per ton for freight on goods carried over the Southern lines.

Should my very imperfect presentation of the subject prove of sufficient interest to elicit any comment, it is to be hoped that we shall avoid a tendency, not uncommon at tho present time, to foment ill-will between North and South.