RAILWAYS AND MOTORS.

New Zealand Herald, Volume LXIX, Issue 21112, 20 February 1932, Page 10

RAILWAYS AND MOTORS.

COMPETITION IN TRANSPORT. DEPARTMENT'S ATTITUDE. " TAPERING OFF " OF SERVICES. [BY TELEGRAPH. —PRESS ASSOCIATION.] WELLINGTON. Friday. The attitude of the Railway Department to competitive motor road services was briefly outlined to the Central Licensing 'Authority to-day by Mr. F. A. Aicken, representing the department at the hearing of applications t'o the board. Mr. Aicken said there could be no doubt, that the Transport Licensing Act was designed and passed for the purpose of securing certain definite results. The four which were of major importance were: (1) A considerable reduction in road costs; (2) wiping out the annual railway deficit, due to the wasteful competition of mad services; (3) reduction of production costs as affected by transport. A reduction in the' cost of production would be obtained automatically by the achievement of the first and second objects. (4) The elimination of unsatisfacj tory and uneconomic conditions within the ! road transport industry itself. The results called for by the Act were not to be looked for in their entirety this year, said Mr. Aicken. Certain services were entitled to automatic licences, but these next year would be required to justify their continued existence. Even in the case of services, which were entitled to automatic licences, however, the department submitted that the Act did not contemplate nor intend that they should be permitted to continue to operate in wasteful competition with the railways on the some scale as heretofore. It submitted that thp Legislature had given licensing authorities a strong lead to follow in the meantime. Provision was made enabling the licensing authority to impose terms and conditions in respect of automatic licences, and without such provision the Act would be practically worthless so far as this year was concerned. Mr. Aicken quoted a passage from the Act in which it was stated that the licensing authority, "where desirable in the public interest, may so fix fares and time-tables as to prevent wasteful competition with alternating forms of transport." He submitted that when it was desirable in the public interest that any of those powers should be exercised the word "may' should be read as "shall." Where the public interest was at stake the interests of the individual had to give way. "We do submit that where the Railway Department is adequately catering for the transport needs of any district or districts as a whole in the public interest, and road services are merely catering for a comparatively small number of individuals, a tapering off of the road service passenger mileage should commence now," Mr. Aicken said. "Also, we think it should be coupled with where circumstances warrent. the fixation of road fares on such a basis as will carry into effect a reasonable interpretation of the sub-section of the Act concerned."