POST AND TELEGRAPHS.

New Zealand Herald, Volume LX, Issue 18551, 8 November 1923, Page 10

POST AND TELEGRAPHS.

THE FINANCIAL ASPECT.

MINISTER AND HIS POLICY.

Speaking at Tomuka, the PostmasterGeneral, Hon. J. G. Coates, referred to the financial position of the Post Office, which he said was quite satisfactory, and the business was increasing. There was a good deal of talk as to what the Post Office should or should not do. it had to find £420.000 interest on the capital invested, and his policy- was to give better services after this interest was found. • •

There had been some criticism in connection .with telephone charges, but .he was not going to be moved from the stand he had taken in deciding that improved facilities or reductions in the dharges could only be given after a reasonable rate of interest had been earned on the capital invested. The decrease of a halfpenny in postage meant a concession to the people of about £300,000, and the increased charges for telephones, only amounted to £120,000. so that it could not be rightly said that the reduction in postage was made up for 'through the telephone. Provision had to be made for tremendously increased services, and at least a million pounds would be required to give effect to the desires of the people in the matter of telephonic services. In other parts of the world the telephone was treated on a business basis, and in New Zealand it was not unreasonable to expect it to earn 4| per cent, on the capital invested. His job was to see that the people as a whole were treated fairly. To do this he asked the users of the telephone to pay for the services which they received.l