TRAMWAY FARES.

New Zealand Herald, Volume LVI, Issue 17100, 4 March 1919, Page 6

TRAMWAY FARES.

The statement by the Mayor, published to-day, disposes of the suggestion that the City Council in committee has completed its negotiations with the Tramways Company. It also gives an assurance that no contract will be made between the council and the company until the public haa had an opportunity of examining the draft agreement. In its investigation of the matter the council is considering various proposals to increase the present fares, a possible solution which calls for most cautious deliberation. Such an arrangement would not receive public endorsement unless its application was equitably distributed among the whole community of tram-way-users. It should also be so devised that the additional charges would be, in the aggregate, approximately equivalent to the sum required to pay the higher wages conceded to the tramway employees. It is doubtful- whether a uniform fare throughout the service would satisfy these conditions. On the basis of the traffic carried during the last .year— 45,000,000 passengers—and of the average receipts per passenger—slightly over l.Jd— a " flat rate " of 2d for every passenger, irrespective of the distance carried, would increase the revenue of the company by a very much larger amount than the addition to the wages bill. The suggestion has been made that the surplus of between £50,000 or £60,000 should be handed to the City Council, but there is no reason why the community should suffer such a system of taxation. The scheme offers a certain attractiveness to suburban residents, but it would be manifestly unfair in its operation since the whole cost would fall upon those using only single sections of the tramways, the great majority of whom can ill afford this novel and unexpected inflation of the cost of living. A simpler solution may be found if the negotiations are confined to the provision of £10,000 only, with possibly an allowance for a reduction in the percentage of profits now taken by the City Council, the latter amounting to about £5000. A considerable and probably sufficient sum might be collected by charging an additional penny on all fares after 7 p.m., and if necessary making a similar impost on traffic carried at other periods when the service is used principally as a means of reaching recreation and entertainment. This method would conform to the principle of taxing luxuries rather than necessities, it would not press heavily on any section of the community, and it would not accumulate a larger revenue than is needed to meet the extra cost of maintaining the service. The best way out of the whole difficulty would be the municipal purchase of the tramway system. If the possibilities of this, course are thoroughly explored the period of any increased fares that may. be decided upon will, in all probability, be temporary and brief.