Increased Expenditure

Putaruru Press, Volume XXI, Issue 1234, 12 June 1947, Page 2

Increased Expenditure

On the expenditure side all accounts showed increases, with the most alarming comparison in the purchase of power from the State Hydro Department. The increase was £4047 14s lid, whereas the board’s increase in net revenue was £1593 16s sd. Continuation of this S condition might lead to serious fin--1 ancial difficulties. .This position was .due to inability of the department to supply ‘electricity, and its method of allocation, together with the method of charging on maximum demand during the restricted service of 20 per "cent. The department suggested a new agreement for the next five years* liimitipg supply to 15,000 leva. At present the board* was taking 12,000' kva, which meant that its expansion was limited to 600 kva per annum for the next five years. The department appeared to have imposed restrictions in another maimer, until additional plant came intoyoperation in 1952. jgt A further matter to be considered under the allocation of power for the next five years was the expenditure of the £IOO,OOO loan. Caution was necessary in the lifting of these moneys, so that all moneys borrowed would be revenue producing and: not lying idle.