HUMAN NATURE

Poverty Bay Herald, Volume LIX, Issue 17944, 23 November 1932, Page 4

HUMAN NATURE

A MINISTER’S EXPERIENCE EFFECT OF CONCESSIONS OTAGO CENTRAL IRRIGATION (Parliamentary Kuporter.) WELLINGTON, this day. An experience of the vagaries of human nature, and in the effect of an offer of concessions to a section of the community which is already enjoying a favored position as compared with many others, is embodied in the observations! of the acting-Minister of Public Works, in the course of the Public Works Statement. Referring to the irrigation schemes conducted by his department, the Hon. G. E. Macmillan states “It was indicated in the statement of last year that the financial position with regard to irrigation in Otago Central was very far from satisfactory, owing to the large amount of water rates that had not been paid. “The amount of outstanding rates lielore last season’s irrigation season commenced was £12,012. The Otago Land Board was asked to investigate the circumstances of those settlers who had not paid their rates, and to make a recommendation to the Government as to whether or not any remission of rates should ho made to those who, owing to the prevailing depression, were unable to meet their liabilities. They recommended remissions to the extent of £384-6, or about 30 per cent, of the totid amount outstanding. The Government adopted the recommendation of the board, and irrigators who were in arrears were advised that if payments of

.ho balance were made the remissions

recommended by the Land Board would be granted. This liberal treatment had, T regret to say, very little effect, in inducing the defaulters to pay their debts to the Government—so little effect, indeed that at the present time the amount owing to the Government has increased to £22,504. This indicates that not only has the promise of the remission of portion of their rates not encouraged many irrigators to pay their past debts, hut has actually had the effect of

irompting them lo withhold payment of heir last season’s rates, and of un-

louhtedly influencing those who wore

not in arrears to take the same course of action, probably with the hope of receiving similar concessions. ‘‘The revenue that should have been collected in irrigation rates last season was £20,604, but of this amount a little over 30 per cent, has been paid, leaving the total debt to the Government at the present time, as I have stated above, £22,504. It can reasonably be assumed that the Land Board’s recommendations, after the- careful inquiries it made, were in accordance with file ability of each settler to pay the balance lie owed after allowing remissions, and when it is found that out of the total balance of £8166 owing, only £l3 is paid, some effective means of ’ enforcing payment must be adopted. “Knowing well the great- difficulty that farmers were still in, owing to the continued low price-levels, I was not inclined to take extreme measures, butconsidering the disappointing results that Were the outcome of the Government’s desire to be fair to those in difficulties. ,it was necessary to seek sortie way of protecting the Government’s interests and preventing further loss to the State. It was therefore decided that those who •were in arrears with their rates would not be supplied next season with water for irrigation until they had paid ft portion of their arrears, equal to the next season’s rates. This had the effect of, at least, not allowing the debt to the ■Government to grow any larger •than it is at present. It is not intended, of course, that the remaining debts shall be cancelled, and something additional will be asked for at n later date, but it is felt that at the present time the above procedure is meeting the settlers in a very lenient spirit. “When it- is remembered that those supplied with irrigation water are onl\ paying, in addition to maintenance and operation costs, interest on ortt'-miarter or (be cost of the works to the Government, it must be admitted that exceedingly favorable terms are being given to the farmers in Central Otago.