LAKE WAKATIPU STEAMERS..

Otago Witness, Issue 3995, 7 October 1930, Page 8

LAKE WAKATIPU STEAMERS..

RAILWAY COMMISSION’S

REPORT.

REORGANISATION OF SERVICE. . WELLINGTON, October 2. lhe opinion that the Lake Wakatipu. steamer services should be reorganised: under an officer at Queenstown is ex-’ pressed in the report of the Railways Commission, which states that the service has not been properly organised and scheduled in the past. It considers that savings' could be effected by good management. Tha capital expenditure shown in the accounts, as at March 31, 1930, sets out the sum or £44,387 as being the amount expended on the assets of this service. The report states: “ The fleet consists of ; three ships—viz., the Earnslaw, which is, stated to be in good condition, but not altogether suitable for the service; the Ben Lomond, and the Mountaineer, both of which are in poor condition and for which, only temporary licenses can be obtained from the Marine Department. “An investigation shows that the sum of £26,123 should be written off to pro* vide for accrued depreciation and dead assets still _ remaining in the capital ac-’ count of this service. It is estimated that the cost of refitting the Ben Lomond and the Mountaineer would amount to £4800,' giving the vessels a further 10 years’ life/ The cost of repairs to the vessels for the past three years was: 1928, £2197; 1929, £3850; 1930, £3523. The evidence sub-, mitted to your commission showed that, the service was not properly organised and scheduled, and that considerable savings could be made under more efficient management.

“ It would appear that the most satisfac-. tory method of management would be to place the service under an officer stationed, at Queenstown and hold him responsible for the service. This officer should be in a position to reduce the staff and,_by economical methods of handling cargo, cur-, tail many of the expenses with which the service is now burdened. As the service’ is self-contained, provision should be made by a reduction of expenditure and an in* crease in rates, so that each year’s work-, ing would result in no loss. “ Your commission has fully considere4 the advisability of recommending the purchase of a new steamer, costing approximately £26,000, which would replace the Ben Lomond and the Mountaineer. In dealing with this matter consideration haq. been given to the probability of the road between Queenstown and Kingston, now under construction, being completed. If this road is completed undoubtedly a large amount of traffic now being conveyed by the steamers will pass over the road, and the revenue of the lake service will bq considerably reduced. Definite evidence cannot be obtained as to whether or not this road will be completed. There la little call by the settlers in the district for the construcion of the road, and provided.the work is not proceeded with your commission feels justified in recommending the purchase of a new steamer.”