POLITICAL CONTROL.

New Zealand Herald, Volume LXVII, Issue 20673, 19 September 1930, Page 15

POLITICAL CONTROL.

PRESENT SYSTEM CRITICISED. PROPOSAL FOR DIRECTORATE. MEANS OF REDUCING COSTS. [nv TELEGRAPH.—SPECIAL REPORTER.] WELLINGTON. Thuisdny. "The sooner flic railways are handed over lo a directorate) the better it will lie for the country, and the sooner will there be a reduction of costs on the general taxpayer," declared the Leader of the Opposition, the I't. Hon. J. G. Coates, when commenting on the annual Railways Statement in the House of Representatives to-day. Speaking immediately after the Minister of Railways, the Hon. W. A. Veitch, Mr. Goates said ho had listened very carefully to the Minister, particularly when he was sounding his note of hope as to the future of the railways, but Mr. Coates admitted that never before had he seen a man who looked so sad and miserable. Mr. Veitch: Personal vulgarity. Mr. Speaker requested the Minister to withdraw the expression and Mr. Veitch did so. "The Minister's speech was 0110 long string of platitudes," said Mr. Coates. "What have we to-day? A Minister who is trying to block progress. He is slowing down the fast train and putting in additional slops, and I notice they are all of the some political colour. It docs not matter about the business community desiring to get to destinations as quickly as possible. Our mutual friend, the Minister of Defence, the Hon. J. G. Cobbe, is the first to got a favour, and the limited express is stopped at Feilding. Now To Kuiti and Te Awamutu arc to have stops." Mr. A. Harris (Reform —Waiternata) : And Paekakariki. Additional Changes. The Minister's speech was a most hopeless exposition of policy, said Mr. Coates. Mr. Veitch had criticised previous Ministers of Railways so much that one expected the department to be put on the road to recovery when ho took charge, but the first thing he did was to load up the department with charges which had no right to bo there. Let Mr. Veitch read the charges made by the general manager in his report. Mr. Veitch : What charges ? Mr. Coates: I will come to that 111 a moment. What with new Ministers, a Royal Commission, Parliamentary committees and inquiries into this and that, I do not know where we will get to with the railways. There was a loss of £1,200,000 last year, which is a highly serious matter so far as the taxpayer is concerned. Railways are vital to the life of tho country, and the country could not function without railway communication, but no general manager will be able to make a success of the operating railways so long as changes of Government necessitate strokes of the policy pen. Only One Remedy. Mr. Coates said it was unfair to ask a commercial department to carry anything at a loss. The railways would never be a success under the present system. In Mr. Coates' opinion there was only one policy by which to place tho railways on a sound commercial basis and that was to hand them over to a directorate as had been done in Canada, Belgium and Germany. Why should the taxpayer be asked to pay £1,200,000 for the railways? Yet becauso the railways wero mixod up with politics the Minister of Railways was afraid to increase freights in certain directions. Mr. Veitch rose to a point of order and asked whether Mr. Coates was entitled to say he was afraid. Mr. Coates: I meant politically afraid. However, at Mr. Speaker's suggestion, Mr. Coates withdrew the term. Experience Overseas. Mr. Coates said the Minister would find it difficult to resist the pressure of various parties in regard to freights. The sooner the railways were handed over to a directorate the better it would be for the country, and so much sooner would costs on the general taxpayer bo reduced. That was fhe only solution he could see. Mr. Coates asked members to study the balance-sheets of the railways in the countries which had adopted that system. New Zealand's railways should be put into independent hands with an Act stating definitely the powers of the directorate and the rights Parliament had in the matter. Mr. J. T. Hogan (Independent—Rangitikei): Tluit is the old Conservative policy. Mr. Coates: Well, if it is, I am proud of it.