RAILWAY COAL RATES

New Zealand Times, Volume LII, Issue 12210, 7 August 1925, Page 5

RAILWAY COAL RATES

COMPROMISE REACHED REDUCTIONS ON LONG DISTANCE HAULING “A SYMPATHETIC BOARD’* (By Telegraph—Special to “Times.”) . AUCKLAND, August 6. A compromise regarding the new railway rates on coal has been reached so far as Waikato mines are concerned. The increases will be made less on long distance haulage to auch points a 8 Palmerston North, Wanganui, and Napier, the department recouping itself for the concession by raising the rates on short hauls to points in Auckland province. ;This is the report of negotiations with the Railway Board made by Mr Riohard White, secretary of Glen Afton Collieries, to-day. Mr Rich, White said: “It will be remembered that the proposals contained in the new tariff issued in June involved large additions to freight on coal to long distant points. For instance, the rate from Waikato mines to New Plymouth was to he increased by 10s .2d per ton, to: Palmerston North by Os'2d, and to Napier by 10s 2d. Upon meeting the board,” he continued, “we 1 found them sympathetic to the interests of indns-

try, ,but they were emphatic inasmuch as they were definitely due to make the railways pay. One feature of the board’s'proposals was that no increase in coal freights was to be made for distances under 76 miles. This meant that Auckland City, and in foot the whole proving of Auckland, which consumes approximately 900)000 out of 460,000 tons of Waikato coal produced, .would not ba called upon to contribute anything in- respect to increased freights. This was plainly pointed out to the Railway Board) and after much deliberation they agreed to revise the rates, and to make each locality hear a portion of tne burden. Obviously, to increase rates by as much as 10s per ton to long distanoe places would mean that while on paper the department would collect an increased revenue they would not actually carry coal, as water borne coal would supply the trade. ’•Rates oil Waikato ooal 'bre to he increased by Is per ton from one mile, graded so as to reach 2s per ton at 100 miles. The effect of the above will be that the freight to Auckland will be increased by Is 8d per ton) toHamilton by 1b per ton, and to'any station over 100 miles by 3s per ton. ‘ “According to representatives of Waikato ooal mines it is considered that the incresses will give the department the required revenue, _ and will not create hardship 'on any individual section of the public or large consumers.’’