The New Zealand Times. SATURDAY, OCTOBER 27, 1923. RAILWAY TARIFF

New Zealand Times, Volume L, Issue 11661, 27 October 1923, Page 4

The New Zealand Times. SATURDAY, OCTOBER 27, 1923. RAILWAY TARIFF

That the railways exist for the country is not only true, but the statement is the expressed objective of the railway system. Therefore are justified all tho deputations from the farming interest which wait, without cessation, on the railway authorities with demands for concessions. Not long ago the railways, for obvious reasons, could not make both ends meet, and in that period the farmers who, thanks to what was known as “the commandeer,” were doing well, refrained somewhat from troubling the railway authorities. But when the slump came upon them they renewed their demands for concessions, and some of them, not the most reasonable, filled the air with denunciations of the railway management. When the slump passed, the railway financial balance restored itself, and the investment of forty millions resumed payment of some portion of the capital charges. As was seen from the figures for the first half-year’s working, published the other day, there is reason to believe that this great investment- of loan money will pay at least the whole of the capital charges for the current year, and very probably something substantially more. Naturally, the farmers renew their demands for concessions. They remember that the railways exist for the country, not the country for the railways. Hence the deputation which waited on the General Manager, as reported in our issue of yesterday.

The General Manager, in his reply to the case put by various members of the deputation, averred that he also realised the axiom that the railways are for the country. But, like a practical man who has the responsibility of stewardship, he reminded his interlocutors that the preliminary condition is that, the railways must, if possible, pay the capital charges. In other words, he reminded the deputation that the railways can best serve the country by being a going concern, and keeping on so going. In this he has the public with him, of course, because as taxpayers the members of tho public have the right to expect the railways to fulfil their aim without adding to the burdens of the taxpayer. The public is perfectly willing, so long as the railways return 3} per cent, on the railway investment of forty millions, to see concessions given without further limit. This i 6 all the more reasonable, as just now there seems ample reason to believe that there is a really good prospect of seeing very soon more than the three-and-three-qqarter limit handed over by the railways to the Consolidated Fund. In this connection the signs of the European situation must be taken into consideration. Is there sufficient stability to guarantee the continuance of the now-growing railway profit? In this connection, Mr Massey, in a recent speech a.t a public luncheon, expressed considerable misgiving. It is quite evidently doubtful whether the good prices will be maintained on which the prosperity of the Dominion and tho economic balance of the railways will continue for any length of time. The railway management is quite right to hesitate about granting concessions. Moreover, the farmers are doing so much better than they were recently that they can afford fo wait.

The General Manager did not hesitate to place relianoe on tho axiom. It is true that the management, bearing tlie axiom in mind, in the past has made many concessions to the users of the railways. Therefore is tho manager entitled to credit when he avers that as soon as the limit of profit is safely reached he will contrive all possible further concessions. Another thing, however, he will be entitled to consider, and, indeed, perhaps he compelled to do so. It is that, so long as tho charges are easy for the users, the railways should be regarded as a source of large profit. This in justice to the taxpayers whose credit enabled the railways to be made, and whose money paid a very” large proportion of tho railway capital charges for many years before the railway system reached paying point. The public will approve the hesitation of Mr MoVilly for the present, as a commonsenso decision, quite just to all parties, without hardship to any. The amelioration of the service in ways that may bo reasonably suggested is a ■different thing. If the suggestions are sound, there is good reason for their acceptance. But are the suggestions which are frequently made by deputations and individuals always reasonable? Tho General Manager had no difficulty in showing that some of the suggestions made by tho deputation in question were not reasonable; as, for instance, the suggestion to lower the tariff on chaff from Marion to Auok-

land because it was as high as the steamer freight for the same from Melbourne to Auckland. As to that, Mr McYilly simply quoted- the 20s of the former against the 45s of the latter. The moral is that deputations should inform themselves about facts, if they would avoid waste of time. In the instance of damage to cattle in transit, the General Manager scored by quoting the case of the exporter who put 7000 head through the railways, with a loss of only five, of which three were due to the fault of his own servants. On the other hand, however, one owner who railed nine head lost three in transit. The safety of 7000 is a big thing, of course. Still, a loss of three out of a shipment of nine requires inquiry. If the authorities made the inquiry it will be only what is expected of them. In the meantime, the conclusion of the owner of the nine, that the railway- transport is only a method of wholesale massacre, can he dismissed with a pitying smile for the man who lost 33 per cent, of his property in a short railway journey. As to these matters, the public expeots that the management will keep a careful eye on the working. Whether the management is alive to all these things in the true spirit of the axiom that the railways are for the country, is a question for future decision by facts. For the present, we can only hope that the management will keep on cultivating tho right spirit.