OUTSTANDING ACCOUNTS

New Zealand Herald, Volume LXIX, Issue 21292, 20 September 1932, Page 11

OUTSTANDING ACCOUNTS

POWER BOARD'S POSITION EXPLANATION BY MANAGER Reference to the sum of £71,494, shown by the returns for the first quarter of the year, ended on June 30, as outstanding accounts, was made at a meeting of the Auckland Electric-Power Board yesterday by the general manager, Mr. R. H. Bartley. He said the total did not represent bad debts, and the greater portion, which was not due at the end of June, had since been paid. "The figure includes the total amount outstanding and owed by consumers on June SO, the greater portion of -which was, at that date, within discount period and was, strictly speaking, not due," stated the manager. "It is our practice to read all meters for our larger consumers, ircluding Government departments, the Harbour Board, the City Council and the 'lransport Boai-d, on. the last day of each month. The street lighting accounts are also rendered at that time. For the month of June these various accounts totalled £31,265, and this amount was included in the total outstanding of £71,494. The whole of this amount of £31,265 has since been paid. "In addition, the accounts rendered to our ordinary consumers at that period of the year amount to about £2OOO a day. Therefore, the total for the 14 days prior to June 30 was approximately £28,000, which was still within the discount date and again, strictly speaking, was not due. It will be seen that these items account for the greater part of the total outstand- ; ing." j At December 31, 1931, there was a total ! of £58,833 outstanding, of which £50.510 j was paid between January 1, 1932, and ; March 31, 1932, leaving £8323 represent-

ing bad or doubtful debts. Of this amount £2661 was written off, and the remainder, £5662, carried forward to i<his year. This figure represented accounts which it was considered were still collectable. An amount did not become a bad or doubtful debt until it had been due for three months.

The actual bad or doubtful debts represented only a very small portion of the total amount outstanding at any given date, but it was expected that writing-off in this connection would have to be heavier than in the past. There would be no slackening in endeavours to collect outstanding debts wherever possible, and at the same time the interests of consumers were receiving every consideration.