BRANCH RAILWAY LINES.

Otago Daily Times, Issue 20870, 9 November 1929, Page 10

BRANCH RAILWAY LINES.

PAYMENT OF SUBSIDIES STOPPED. PROTEST BY LEADER OP THE OPPOSITION. (From Omt PAitniAMENrABY Repoeteh.) WELLINGTON, November 8. The action of the Government in stopping. the payment of subsidies to meet losses on branch railway lines was questioned by'the Leader of the Opposition (Mr J. G. Coates) during the debate on the Finance Bill in the House of Representatives to-day. Mr Coates wanted to know why the Government should repeal a system which enabled the people to see where the losses on the railway working actually took place. It was necessary to know what the branch lines were costing. The clause in the Bill should be dropped. The Leader of the Labour Party (Mr H. E. Holland) urged that the'clause be allowed to stand. Agreeing, fcie Minister of Railways (Mr W. B. Taverner) said that under the proposed system the complete losses would be shown. In the opinion of Mr W. Downie Stewart (Reform member for Dunedin West) the clause would blind the real position. The Acting-Leader of the House (Mr G. W. Forbes) said that many of the branch lines were not being used to their full extent and it was a question whether the country could afford to go on losing money on them. A thorough investigation of the position was necessary so that the people might know the amount that w*s being lost. Stating that the Government was making a retrograde- step, Mr Coates challenged the Minister to produce one to support his contention. On a division called for by Mr Coates the clause was returned by 42 votes to 22.