HIGHER RAILWAY RATES.

New Zealand Herald, Volume LXVII, Issue 20720, 13 November 1930, Page 12

HIGHER RAILWAY RATES.

REVISION NOU; COMPLETE.

MORE INCREASES IN VIEW,

FURTHER £193,000 OF REVENUE.

ADDITIONAL ECONOMY MEASURES

[BY TELEGRAPH. —OWN CORRESPONDENT.] WELLINGTON, Wodneadny. The revision of passenger fares and freight charges announced to-day is not the first step taken to rehabilitate the financial position of the railways, nor will it bo the last, according to a statement made, by the Minister of Railways, lion. W. A. Veitch, to-day Tho Minister sgiid economy measures bad been adopted before the lloyal Commission's report was placed in ttio hands of tho Government, but tho imposition of the higher'charges was tho first step toward giving effect to the commission's recommendations. Mr. Veitch said he had not completed t.iio revision, but onco this was donn atlention would be directed to other portions of the report and, whore considered necessary, the commission's proposals would be put into effect It .wt,s estimated that increased annual rpvenuo totalling about £202,267, would accrue as a result df the increases already mado, and it was considered that the adoption of the remaining proposals would mean an additional revenue of about £193,000. The remaining increases would bo made, although one or two points had to be settled before they were put into effect. New Zealand Brown Coal. One of tho most important of the outstanding recommendations relating to increased charges, affected the carriage of Now Zealand brown coal. Increased revenue from this source alone was estimated to produco about £65,000 a year. Tho higher charges were to be imposed, but it was hoped to meet the coalowners' convenience as far a* th« incidence of the increases was concerned, lie intended to confer with them next Tuesday, and the new charges would bo arranged following the meeting. Another recommendation of tho commission receiving attention was that concerning the rates for two separate classes of artificial manures. liy increasing tho freight on them it was hoped to produco £91,000 in additional revenue. There was also the question of rates upon road metal for use by local bodies, the carriage of which it was considered should bring in another £29,000. "Wo have been doing big things in tho Railway Department in the way of economy," said the Minister. "It is quite unreasonable to proclaim to Iliopubic that nothing is being dono except to increase fares and freight rates. Relief Work Burden Lifted. ''First of all, now that the Unemployment Act will soon be in operation, there is no further need for the Railway Department to bo loaded with the cost of unemployment relief. That feature of our expenditure has already been eliminated. "Considerable reductions have been mado by the elimination of positions throughout tlio service. Contrary to tho declarations of somo newspapers, these eliminations did begin in the head office. Even before the Royal Commission's report camo to hand, substantial economies had been effected. Tho elimination of unnecessary train mileage amounts to almost 1,000,000 train miles. That saving of itself should total between £175.000 and £200.000 a year. "Tho abnormal cost of overtaking repairs to rolling stock will now cease, as theso repairs have been largely overtaken. A number of cadets aro being transferred from tho Railway Department to other branches of tho Public Service, in which they are required. Permantnt Staff Economy. "Tho elimination of a number of positions no longer considered necessary in the permanent staff—while it will retard promotion and even amount to a temporary step downward for some—does not involve the dismissal ofrany permanent men. The question of tho further reduction of the staff is a matter for consideration and I have not yet had tho opportunity of going into it. "it will bo seen that, it will be possible to reorganise tho Railway Department and to do the things that are necessary to strengthen its finances under a system of Ministerial control. I can see no reason why a Minister who has tho responsibility of control over tho people's money should not himself faco the (ask of 'doing these things. This is in keeping with the present Government's nolicy in regard to all its administrative responsibility. "There is a general cry to the effect that there should bo a 'depoliticalising' of the railways. I do not like tho word, but I merely use it because it has corne into common use. I firmly believe that the present Government's policy of frankly facing its own responsibilities and of telling tho public tho whole of the truth is one that has met with general approbation."