ST. KILDA FINANCE

Otago Daily Times, Issue 24608, 16 May 1941, Page 6

ST. KILDA FINANCE

It is not likely that there are many boroughs in the Dominion in which the local authority is able to exhibit a statement of accounts for the past year as favourable as that produced by the St. Kilda Council. A surplus is shown in. each one of the municipal accounts —the general account, the water account, and the hospital rate account. Nor is this satisfactory position due to the pursuance by the Council of any cheeseparing policy in the past twelve months, for it has not neglected to provide for the full maintenance of the borough amenities. During its term of office, moreover, the Council lias reduced the indebtedness of the borough—an inconsiderable indebtedness—by £17,700. The electors would show a surprising lack of appreciation of the services which it has rendered if they were to make any change this week in the personnel of the Council. Any such result is, however, scarcely to be anticipated. The Labour Party has, in the hope of securing some sectional representation on the Council, nominated six candidates, and it is distinctly amusing to learn that its appeal to the electors is based principally on a promise that its nominees will vote against any increase in the rates. This is a promise to vote against something that will not be proposed. The ratepayers may certainly rely upon it that, if the borough finances preserve the healthy aspect which is disclosed by them at the present time, their rates will not be increased. On the contrary, given a continuance of the prudent policy of the retiring Council, a reduction in their rates during the ensuing three years would seem to be not improbable. It would be foolish to suppose that they would fare better if the Labour Party's nominees were elected. To the election of individual members of that party to a local body on their personal merits no objection can reasonably be taken. But the intrusion of party politics into local elections has grave disadvantages from the point of view of the public as a whole. In actual practice it means that, if the Labour Party secures a majority on a local body, the decision on the questions that arise is not made after public discussion, but is secretly arrived at prior to any such discussion.

ELECTRICITY IN RURAL OTAGO The Otag6 Electric Power Board is to be congratulated on the financial position that was disclosed at its meeting this week—the final meeting before the general election of its members. The difficulties which the board was forced to meet in the plan of providing the benefits of a service of electricity to a population widely scattered over an extensive area were so serious that in the earlier days of its existence they may almost have seemed insurmountable except at a cost for the service that would in some areas seem to be virtually prohibitive. Nor can the board even now be said to be free from difficulty. There must be many districts in which the cost of reticulation would be wholly disproportionate to the revenue that would be derived from the sale of current. A ready explanation is thus provided of a policy of extension of service that is steady rather than spectacular. The length of line established and controlled by the board has increased in the past ten years from 583 miles to 671 miles. The larger part of this extension was provided in the Waihemo and Maniototo counties., As a result current was made available for gold-mining purposes at Macraes and an extension through Hyde to Middlemarch on the one hand and to Ranfurly on the other hand, gave the advantage of electric lighting and power to residents in these townships and to settlers within a reasonable distance of the power line, adding as many as 300 consumers to the number previously receiving service from the board. An increase from 3755 to 5068 in the number of consumers and from £36,602 to £56,985 in the board's revenue in the past ten years—the latter despite a reduction in the charges—is impressive, and the prudence with which its affairs are administered is illustrated in the fact that, while the board has satisfied requirements in respect of provision for sinking fund and for depreciation, it was at the close of its financial year in the fortunate and uncommon position of having no bank overdraft. The record is one in which the members are entitled to take satisfaction.