LOAN OF £675,000.

New Zealand Herald, Volume LXV, Issue 20081, 19 October 1928, Page 12

LOAN OF £675,000.

POWER BOARD'S PROPOSAL. PROVISION FOR EXTENSIONS. EXPECTED TRAMWAYS DEMAND. THE SUPPLY FROM ARAPUNI. A proposal by the Auckland Power Board to borrow £675.000 will be placed before ratepayers in its ni'ca at a l )o!1 to bo held before the end- of the year. The schedulo of works to bo covered by flu. loan was approved by the board this week and steps are being taken to secure the sanction of the Local Government Loans Board. The purpose of the loan is for the general extension and improvement of the board's plant and reticulation system. In a general explanation of the board s plans the chairman, Mr. W. J. Holdsworth, said the loan would provide for the growing needs of the system for the next threo to five years. About £250,000 of the total sum was required for general extensions and would provide a fund foi future needs as they arose. Another large sum would bo spent on the provision of a 22,000-volt cable to give direct connection between the Penrose station and the various suburban sub-stations as far west as Kingsland. This direct connection would add greatly to tlio efficiency of the system. At present power had to be relayed through the King's Wharf station. The board had also to anticipate an increased demand for power from the tramways, following the expected institution of a transport board and the lattcr's prosecution of tramways extensions. If this expectation were realised the erection of further sub-stations would be necessary, involving capital expenditure. Moreover, the early completion of the Arapuni hydro-electric scheme would necessitate changes at the King's Wharf station. The plant there would become a stand-by against interruptions of supply from Arapuni or Horahora, and, to increase its efiiciency against emergency, would have to he changed over from a coal to an oil-fuel plant. Financial provision was required to make the change. Finally, there was the fact that the existing reticulation system was being required to carry an ever-growing load. Portions of it would require strengthening „Tiid the board also had in mind the completion of reticulation in the outermost parts of its district which included the whole of the Manukau County. In a statement at the last ineeing of the board Mr. Holdsworth stated that reserves had been earmarked up to 1930 and the Loan money was now practically exhausted. Increased demands for power were, nevertheless, still coming in, and with the bringing into- use of the first turbine at Arapuni an all-round impetus to the board's demands might be expected. In addition to tramways the new railway workshops at Olahuhu would be making heavy calls for power, and the domestic and lighting loads were growing dailv.