TAKAPUNA TRAMS.

New Zealand Herald, Volume LVII, Issue 17574, 13 September 1920, Page 6

TAKAPUNA TRAMS.

EVIDENCE FOR COMPANY.

ELECTRIFICATION ISSUE.

The Takapuna Tramways Commission continued its sittings on Saturday,' Mi - . E. C. Cutten, S.M., presiding.

Continuing his evidence, Alexander I Roger Morrison, actingrchairman and a | director of the Takapuna Tramways and Ferry Company, said the company gave the tram service all the credit for the increase of population. At no time had the lack of money or the high price prevented the company buying engines. The directors were first dissatisfied with the state of the engines in 1916. In 1919 they were running very badly, but the company could not obtain materials for repairs. Since 1914 the price of coke had increased from 26s to 45s a ton. Witness would not have gone into the company in the beginning if it had not been a proposed electrified service. The excursion traffic on _ the tramways vastly exceeded expectations, but the progress of settlement did not exceed the company's anticipations.' Witness was satisfied there was now a goodwill in the tramway concession. The rise in land values, consequent upon the tramway, was enormous. Original owners made large investments in the Tramway Company to give it a start. The venture would have been dropped when the minimum subscription was obtained, but the promoters thought it would be a pity to let it go. The proposal to adopt steam was agreed upon unanimously by the shareholders- It was originally proposed to take up blocks of land, but no means were available. Witness wished the commission to recommend a reasonable rate of profit. If the company had written off sufficient for depreciation last year it would not have made 65 per cent. Witness would be content with a 5i per cent, dividend if he could not get more, but the dividend should be 7£ per cent. Past returns had been unsatisfactory, and this year looked gloomy. The Board of Directors had asked for legislative amendment to the deed of delegation, owing mainly to the great loss on tramways. The company also wanted a fair and reasonable return for its capital. Hugh Munro Wilson, civil engineer, called by Mr. Brown, gave evidence that he prepared plans for the undertaking. The track was laid for electric traction, and there was no faulty construction about it. Witness did not think the company would be better financially had it adopted electric traction, and at the time the population did not warrant it. Witness did not agree with th* report of the district engineer in August, 1918, attributing the present lack of smoothness in the running of the cars to the fact that the road bed was not laid with sufficient care. Witness thought that the track should in future be electrified, owing to the increased traffic. Running expenses would then be reduced. He was not prepared to say whether a line from Devonport would have been a, better revenue-producing proposition, or whether it would he a sound financial proposition for the Tramway Company to take the tram revenue and the Devonport Ferry Company the boat fares. » Frank Ernest de Guerrier, chief engineer of the Auckland Tramways, called bv Mr. Brown, said that some time ago he furnished a report on the Takapuna Tramway system. He investigated the matte! of electrifying the whole system, and in the circumstances could not see how any other form of traction could be adopted which would have the slightest chance of coping with the traffic at a more reasonable cost than Steam. * _ The Court adjourned until this morning.