TELEPHONE CHARGES

Otago Daily Times, Issue 18765, 19 January 1923, Page 6

TELEPHONE CHARGES

THE NEW RATING SYSTEM. OPINION IN WELLINGTON. BUSINESS MEN DISMAYED. (Per United Press Association.) WELLINGTON, January 18. The general opinion amongst business men in Wellington on the proposed changes in t.;e telephone system seems to be one of ui nay. Many firms are now using three c four telephones, and they strongly ex- }.'.. ss the opinion that they much prefer t, reduce the number of wires rather than pay the increased charges. In some quarter! the opinion is expressed that the best vr- y to wipe off the departmental deficit L to reduce the charges and thus attract more customers. POINTS OF INTEREST. THE TWO-PARTY SYSTEM. COST TO SUBSCRIBERS. DEPARTMENT’S ACTION DEFENDED. (From Our Own Correspondent.) WELLINGTON, January 18. To judge from the attitude of some of tl o members of the Wellington Chamber of C mmerce local business men are not in h .te to condemn the new system of telephone charges, which was outlined by the 1 rtmaster-general yesterday. They are 0 posed to await further explanations by ti j department, and in the meantime to Cl- diffident in their expression of opinion, t: neidenng that the new scale will mean a übstantial increase in the telephone rental of most business firms, the department si ms to have reason to congratulate itself <i : the not very unfavourable reception of its proposals. In the eyes of many busin is people the department has done well i- : avoiding the toll system under which payment would be exacted in accordance wuh the actual number of calls made. , n a brief interview which he gave your c respondent this afternoon, the Assistantei\ retary of the Poet and Telegraph De--1 tment (Mr A. T. Markman) elucidated s- ae points of interest. The institution of tii-> two-party line in the city business area i: i new departure. Though the new charge f a business connection is to be £lB a year, cr £8 10s more than the present charge, the 1 : siness man who is having an automatic c anection installed will bo able to reduce h i expenses by asking for a two-party connection, which will cost him only £l2. ah the automatic telephone he will be e most as well off on a two-party wire as 0 i an exclusive wire. At any rate he will ti >t receive the calls intended for his partner in the line. When he takes off the re- <■. iver he will be informed by the usual li aiming sound that the line is clear, or ! will hear his partner speaking and k -jow that the wire is busy. Where a 1, isiness man applies for the use of an auton itio on the two-party system his partner v 11 be selected or approved by tne deI: rtment. It will be quite possible for a subscriber who is having a two-party busi--1 -SB connection installed to bo without a partner for months if the department cani it at once find a convenient one. The i .te at which the subscriber will be charged ( -en in such a case will bo only £l2 a j oar from the time of the installation. The department has what appears to be s i excellent answer to one of the arguments which your correspondent heard n jainst the new proposals. The number of telephone connections in the dominion i> 80,000, and 62 per cent, of them are t -jeiness connections. The deficit on the v orking of the telephone system last year was £173,000, and the Minister has announced that he desires to make up this Joes. A critic who to-day computed that on increase of £8 10s each in the cost of oven 50 pier cent, of the total number of confections would bring in an extra amount of £34o,ooo—almost twice the amount of (he deficit of last year, argued that the department would have a difficulty in -jstifving such a large apparent addition to the revenue. From the departmental ride it is pbinted_ out that, the critic has ignored several important, points. The principal one is that thp department is not faced merely with the necessity of making '■p a deficit of £173,000. It has to pay interest on a capital cost which is increasing all the time as the telephone system i i extended. Then it is making the coni' assion already noted of the two-party business line, and finally it is reducing Ihe < hargo to a large number of private residences by as much in some cases as 50 per cent. The Wellington Chamber of Commerce does not intend to issue any official 'talei.ient regarding the new system-until the Members have heard the system explained by Mr Markman and the Chief Telegraph Officer (Mr Shrimpton), and nave had an r pportunity of digesting the proposik A meeting of business men is to be convened i n Tuesday next, and Messrs Markman and bhrimpton will attend. THE PROPOSED INCREASE. OPPOSITION IN CHRISTCHURCH. (Per United Press Association.) CHRISTCHURCH, January 18. In regard to the proposed increase in 1 slephone charges, the general impression in business circles in Christchurch appears to be that the Government will be compelled to devise some alternative scheme, : ince the volume of protest that will be evoked by the Minister’s proposals will le so great as to compel their abandonment. PROTESTS FROM NEW PLYMOUTH. (Per United Press Association.) NEW PLYMOUTH, January 18. Strong protests against the proposed new tale phone charges were made by New PlyMouth business men who were interviewed to-day. The local i-ates mean an increase of practically 100 per cent, for business ';ihones, which will go from £7 to £l3. • These proposed charges really jnean that we are not going to get any real benefit f.om the reduced postal rates,” said one t lerohant. who suggested that small traders would prefer to do without the telephone i ither than pay 85 per cent. more. Householders also protest, though they get off 1 ghter.