AUCKLAND TRAMWAYS.

Otago Witness, Issue 3768, 1 June 1926, Page 68

AUCKLAND TRAMWAYS.

REDUCTION OF FARES. AUCKLAND. Mav 28. In endeavouring to meet the bus competition the city tramways department reduced the fare's, and the gross revenue is £BOOO less than in the previous year. It provided additional services, and the working expenses are higher by £43,000. Te rocover some of these losses it drastically curtailed the expenditure ori maintenance to the amount of £40,000. With the gross profits . reduced by nearly £II,OOO, it had to meet an increase of £SOOO in capital charges, and as a last rosort took advantage of the strength of the accident reserve fund to reduced the annual transfer to it by half it is apparent that the tramways losses have been due to the fares being too low, for, in spite of competition, the traffic has increased in 1924-25. The trams carried 999 passengers for every 1000 car miles. Last year the total was equivalent to 1020 per 1000 car miles. The services were increased per car mileage by 4.46 per cent. The number of passengers increased by 6.64 per cent. Thus the ground that was lost in the previous year has been nearly recovered in the last year.