HAULAGE OF COAL.

Poverty Bay Herald, Volume LI, Issue 16773, 4 July 1925, Page 12

HAULAGE OF COAL.

DEPUTATION OF OWNERS. THE RAILWAY TARIFF. i (Per Tress Association.) I WELLINGTON, this tiny. | A deputation representing Waikato coal mining companies interviewed Hit) Railway Board chairman (Mr. Jones). | It Was Contended that the new railway tariff on cdal would operate adversely to local companies as compared with imported cdal. , As the railways arc run for the benefit of the State the Department should- not impose long distance freights. That would injure the Waikato mines arid tho in dust tics dependent upon tlteit product. Last year the cdal impofts were a quarter of a million tons more than the total Waikato output. The deputation stressed tho fact, that tho reduced output from coal mines will (1) entail a serious loss to tlkj coal companies; (2) inability oh fhe part of the companies to dispose of a large quantity of slack coal will necessitate ‘an increase tt> consumers of household and steam coal; (3) the less of prolits will reduce taxation payable td •the State; (4) tho reduction of the output will compel the discharge of a large number of miners and other workers; (5) it would affect the earnings of inijiers through irregularity arid, insufficiency of employment. Mr. Jones, chairman of the Railway Board, said there were one or two points lip would like to clear, up. One was why' should the cost of working lignite coal be greater than the cost of working bituminous coal? Mr. Alison: “I mn unaware that the cost is greater. ” Ho added that there must be sotnc miscdnCeption in the mind of fhe,chairman of the Railway Board with respect to that point. The WaikUtti mines had Us up-to-dato plant tis it was possible to get. They had made the best possible arrangements with the miners, arid the iriiiles were worked as eeononiicitlly its possible, so that the cost of pioductiou was made as low as possible, lib added that the coal eompaiiics Wbre not making excessive profits. The Taupii'i mines, which had the largest output and had bbcii the lOtigest cstab- ,• lished, had not for years paid more than 71 per cent., and that was mak- 1 ing no allowance for depreciation by rctison of cxliaiistioit. Mr. Jones said the Board had to look at the matter from its own point of view, that was that traffic had got to pay for itself. The railways could not afford to carry coal at a loss. The cost, of hauling coal for long distances, say, to New Plymouth and to Wellington, would only just pay the railways on condition that they hauled the waggons back, apart, from that bust. In other words, they lost a proportion rtf the cost of hauling empties back. A large proportion of wUggpns must be hauled .brick empty. Under the new rate the Department bdlild only just make traffic pay for itself. A general discussion, followed, in, tho course of which tile chairman of the Railway Board said ill answer to a. question that the total amount of additional revenue which the railways would require to get from the coal j traffic referred to over and above the I existing rates was about £50,000. , Mr. Alison said tho cdal mine owners would rtow be in a position to consider the matter, and perhaps make

a proposition for consideration of the Board. The coal mine owners and the Board then held a further conference in committee.