RAILWAYS STATEMENT.

Otago Witness, Issue 3212, 6 October 1915, Page 12

RAILWAYS STATEMENT.

RECORD GROSS RECEIPTS. (From Our Own Correspondent.) WELLINGTON, October 1. The Railways Statement for the year ending March 31, 1915, which was laid beforeParliament to-night by the Hon. Mr Herries (Minister of Railways) states that the gross receipts, totalling £4,105,457, were the highest on record. The following table gives a. summary of the results and a comparison with the year 1914 : 1914. 1915. Total earnings £4,043,328 £4,105,547 Total expenditure ... 2,880,323 2,920,455 Net profit on working 1,163,005 1,165,002 DETAILS OF OPERATIONS.

The mileage of lines opened for traffic was increased from 2853 at March 31, 1914, to 2955 for 1915. The average number of miles operated during the year under review was 2917, as against an average of 2861 in the previous year. The extensions opened during the year totalled 91 miles 25 chains. The capital cost of linos open for traffic, including plant and steamers on Lake Wakatipu, advanced from £32,355,087 to £34,133,825. The net revenue (£1,185,002) was equal to a return of 3.36 per cent, on the capital invested in the working railways, and 3.28 per cent, on the capital (£36,133,155) invested in the opened and unopened lines. The gross revenue, while in excess of the earnings of the previous year, fell short of the estimate by £144.543, but a saving of £109,545 effected in the expenditure brought the not revenue to within £34,993 of the estimate. The gross receipts per train mile from the North Island main lino and branches were 96.75 d, as against 97d last year —a decline of 0.25 d. The South Island main line and branches earned 110.5 d, against 109 d last year—an increase of 1.5 d per train mile. The gross earnings per train mile from all lines advanced 0.75 d, and the expenditure increased by 0.54 d per train mile. The net result was therefore 0.21 d bettor than was achieved last year. The expenditure amounted to £2,290,455, being £109,545 loss than the estimated amount. The percentage of expanses to earnings was 71.14, as against 71.24 per cent, last year —a decrease in cost of 0.10 per cent. The sum of £524.391 was expended under the head of additions to open Unas in providing for signal interlocking, water services, grade improvements, new office and station accommodation, Westinghouse brake, car lighting and workshops’ machinery, and rolling stock. During the year under review 24 locomotives, 75 carriages, 28 brake vans, 102 bogie wagons, and 1268 four-wheeled wagons were on order on March 31. This will keep the railway workshops fully employed during the ensuing year. EXPENDITURE CURTAILED.

In view of the war, it was deemed imprudent to commit the dominion to any largo expenditure in connection with the scheme of works outlined in last year’s Statement. Operations were therefore confined to the portions of the general scheme that were in hand before the war occurred, the restricted expenditure being tentatively provided for out of the ordinary funds voted for the department. The fact that a record in railway traffic was created during such a year can only be regarded as a strong indication of the imperative necessity for going ahead with the proposed scheme qf works immediately the financial stringency is removed. During the past 10 years the train mileage has increased by 54 per cent., the passenger traffic by 59 per cent., goods traffic by 51 per cent., and congestion of traffic is still severely felt in the busy areas and depots. At the ordinary rate of expansion the traffic would exceed .the capacity of the busier portions of the existing lines within the next five years. If, therefore, the railway system is to be placed in a position to deal effectively with the traffic that will undoubtedly require to he handled in the near future, arrangements must bo made as soon as funds are available to push on the works with rapidity and complete them at the earliest moment.

The estimated revenue for the year ending March 31, 1916, will be £4,000,000, and the expenditure £2,900,000. This docs not include the extra percentage levied by Gazette notice for war purposes. SUPERANNUATION FUND.

The accumulated amount standing to the credit of the. superannuation fund on March 31 was £346,156 —an increase of £50,686 over the balance at credit on March 31, 1914. The total income for the year was £138,829, and the outgoing £88,143. Of the latter sum £77,036 represented payments to 916 members of the service retired voluntarily or by reason of being medically unfit, 212 widows, and 321 children dependent on deceased contributors to the fund who had retired on superannuation at the time of their death. The income from the actual contributions of subscribers amounted to £75,023, while the charges on the fund were £79,936. The total contributions were £4913 short of the liabilities. The receipts are, however, supplemented by the Government subsidy of £25,000 per annum and amounts accuring from interest on funds invested and fines imposed under the railway regulations. These amounted to £13,705 last year. GENERAL MANAGER’S REPORT. The General Manager in his report states that the number of ordinary passengers carried during the year was 13,565,772 —an increase of 209,879 on the previous year’s business. The total goods tonnage was 6,075,282 •—an increase of 143,942 tons over the previous year. This increase is confined mainly to minerals, principally native coal,' which showed a drop in 1914 owing to labour troubles. The increase in grain traffic is mainly on the suburban lines. The average number of men employed on the railway during the year was 14,614, as against 14,176 for the voar ended March 31, 1914. Ten members of the second division were promoted to the first division, 403 members of the permanent staff resigned, 99 retired on superannuation, 32 died, 116 wore dismissed, and 1283 were engaged. The gross earnings per average mile of railways declined by £6 per mile, but the working expenses decreased by a similar amount, leaving the not earnings per average mile open at £4oß—the same as last year.

IMPROVEMENTS CONTEMPLATED. The experience of the past 12 months, the General Manager adds, has confirmed the conclusion he had formed previously as to the necessity for undertaking at the earliest possible opportunity the improvements advocated in his special report of last year. These improvements include a complete ro-

organisation of the station and yard accommodation at Auckland, Wellington, Palmerston North, Hastings, Lyttelton, Christchurch, Addington, and Timaru, grade easements, deviations, and duplications of lino where train services are greatly congested and the maximum limits of existing capacity have almost been reached, bridge strengthening, completion of signalling and interlocking on the main systems, the installation of alarms at level crossings, and the erection of up-to-date workshops for the manufacture of locomotives and other rolling stock. As far as the railway improvements authorisation loan is concerned, no moneys are being expended except on works already in progress or on purposes to which the department is already pledged. No new work that does not come within the above category has been commenced under the loan proposal. THE SOUTH ISLAND. The revenue for the South Island main lino and branches was £1,513,292 —an increase of £23.961 over the previous year; 4.944.365 passengers wore carried —a decrease of 163,090; and 2.369.993 tons of goods—an increase of 67,003 tons. The annual revenue per mile of railway on the South Island main lino and branches decreased from £llOO 15s the previous year to £1095 7s Id for the year under review, but increased per train mile from 9s Id to 9s For the Dunedin district the revenue was £504,436 —an increase of £6909, but the number of passengers decreased by 10,868.

DEBATE IN PARLIAMENT. WELLINGTON, October 1

After the Statement had been laid on the table of the House, Mr Ell complained of the Railway Department opening a ticket office in 'Wellington within 2CO yards of the tourist office. The office was costing £750 per year, and he characterised this as a piece of stupid extravagance. The Minister of Rail ways said he would not allow the Tourist Department to sell railway tickets because the Tourist Department would charge commission, and yet when thoChristchui'ch tourist office had offered to sell tickets free of charge he refused permission to do so. It was an absurd duplication of services, and ho urged the Minister to terminate this waste of public money and to issue an order to his department to station an officer in the tourist offices for the sale of railway tickets, otherwise he would be running his department into an expense of £SOOO or £6OOO per year, which was unwarranted.

Mr Witty contended that the bringing of ’ the Railway Statement down temporaneously with the Public Works Statement was calculated to limit discussion and curtail the liberties of members. He hoped tlie Minister would withdraw the Statement.

Mr Veitch asked the Minister to state what was being done to provide rolling stock for the railways. The railways were still short of engine power, notwithstanding the fact that, on the advice of the general manager, he had recently imported a number of inferior engines from America. He hoped the Minister would not forget that ho should have every engine made that could bo made in New Zealand with as little delay ae possible; otherwise he would have to go to America for more engines. He asked that no undue retrenchment be effected on the railways during this lean year, and he put in an appeal for the betterment of the dining car employees and permanent casuals in the service. He asked the Minister to explain what privileges had been given to farmers in connection _ with the removal of sheep in the drought-stricken districts, as it had been stated that there had been abuses in connection with the shifting of starving stock. If abuses were allowed to creep :in it might result in privileges being withdrawn from deserving settlers. Mr Isitf endorsed the complaint made by Mr Ell regarding the establishment of a ticket office in Wellington. It was characteristic of the tactics of the Minister of Railways that ho should bring down his Statement simultaneously with the Public Works Statement. The Prime Minister defended the Minister ol: Railways, who had brought his Statement down that night in accordance with a promise made. Had the Government exercised its rights under the Standing Orders it might have gone on with the Public Works Estimates without discussion. Ministers did not wish to stop discussion, and consequently had not taken advantage of their rights. Evidently there was no pleasing some members. Mr Talbot claimed to have an intimate knowledge of the transactions in connection with shifting starving sheep, as he had been instrumental in getting the concession made. He repudiated any suggestion that there had been abuses in collection therewith, and he publicly thanked the Minister and the Agricultural Department for the service rendered to the settlers.

The Hon. Mr MacDonald explained the arrangements made by the Agricultural Department for the shitting of starving stock. This department paid for the shifting, and it was only done on the certificate of one of its own officers. He had heard no suggestion of abuse. Dr Thacker combated the Prime Minister’s theory that the National Cabinet was above criticism. If members followed that course they would become afflicted with political indigestion. Recently he had asked the Minister a question about the Lyttelton tunnel, and had received a bland, docile, and empty answer. Now he wanted a definite statement as to iviiethor or not the Minister proposed to improve the ventilation of the tunnel.

The Hon. Mr Homes in reply, defended the establishment of the ticket office in Wellington, and said the success was such that inquiry had been made with regard to the possibility of opening similar offices in other centres, but for the present action had been delayed. Ho had no sinister object in laying the statement on the table of the-House. He had no idea, except that the document would bo helpful to members in discussing the Public Works Statement. With regard to the engines complained of by the member for Wanganui, his advice was that they were the best the department had ever had. The man were well satisfied with them, and he proposed to have one in Wellington on Monday so that members might inspect it. He proposed to go on building engines in Now Zealand, in which department no had not been idle. It was largely a question of money, as indeed was the improvement of the status of the casual hands and the dining car hands. The management of the dining cars was in a state of change, and when that state of transition was completed the increase in the men’s wages would be considered. If the Minister of Finance would give him £200,000 to do all the improvements required at Lyttelton no would be pleased to do them. There was a large scheme for the duplication

of the Lyttelton tunnel, costing a great deal ot money, and when the Minister of Finance gave him the word that the money was there he would bo only too glad to put it in hand.

1 ho motion that the Statement be laid on the table was then agreed to.