MAKING THE RAILWAYS PAY.

New Zealand Herald, Volume LXVII, Issue 20690, 9 October 1930, Page 16

MAKING THE RAILWAYS PAY.

Sir—Last year the Railway Department notified bookstall lessees at the stations throughout New Zealand of its intention to take over such bookstalls and not renew leases. Auckland was excluded tor 12 months, pending the completion of the new station, but following pressure from the leading Chambers of Commerce and awkward questions in the House, the project was abandoned. Now judging from the absence of the invitaLion for the usual tenders, the department, in the particular case of the new Auckland station, is endeavouring by a policy of silence to do that, which, in the general case, it failed to accomplish by open action. _ ihis policy of silence, if successful, will, tor departmental purpose, serve a dual use; Firstly, by avoiding the embarrassment of criticism from the House, the public and the Chamber of Commerce. _ Secondly, by camouflaging the financial sido of the question. The first aspect is sellexplanatory, but the second needs enlargement. The position briefly is this: The book and other stalls at the new station will be conducted by the refreshment branch, which, according to the recent- Railway Commission, showed a loss of £I3OO for the past 12 months, largely duo to heavy overhead charges for management. Before this management commenced, the department received with a minimum rf effort a substantial revenue from private lessees, who paid in advance. So, also, the present lessee of the Auckland bookstall pays to the department in rent by quarterly payments in advance a sum in excess of the refreshment branch's loss. To receive this amount the department's only duty is to issue quarterly a rent demand of less than a dozen words. As there are some six stalls at the new station the present revenue in rent to the department would be, under private management, increased, while under the refreshment branchy this multiplicity in stalls will increased the overtime and Sunday time and must result in another loss. if the department, in view of above, actually goes on and absorbs the bookstalls as a sample of its business eapacitv, then its divorce from political control' will fall far short of a remedy for its financial ills. C. McLoughlin.