BRANCH LINES

Southland Times, Issue 21275, 22 December 1930, Page 15

BRANCH LINES

THEIR FEEDER VALUE. FARMERS’ UNION’S REQUEST. ■ The feeder value of branch railway lines, which has been interesting the Southland Farmers’ Union for some time, was the subject of a letter which was approved by the union at its meeting on Saturday. The letter, which was addressed to Southland members of Parliament, was presented to the meeting by Mr A. R. Johnston. The president (Mr Erskine Bowmar) remarked that the question did not require discussing and thanked Mr Johnston and his committee for the way they had dealt with it. The letter stated:

“At the monthly meeting of the Southland Provincial Executive of the New Zealand Farmers’ Union the question of the feeder value allowed by the Railway Department to branch lines was raised by a remit from the Mossburn branch of the union.

“A committee, representative of several Southland branch lines, was appointed to discuss the position, and report to the next meeting. Thg>committee has duly reported, and the provincial executive has approved of the committee's suggestion to draw your attention, along with other Southland members of Parliament, to the position, and ask that you should use your best endeavours to secure for branch lines a fairer allowance of feeder value.

“We consider that an allowance of approximately 10 per cent, of the main lines’ thare of revenue as feeder value to branches is quite inadequate and unfair. Prior to the sitting of the Fay-Raven Commission in 1924 no allowance of feeder value had been made. The commission’s report, under the heading ‘Losses upon Branch Lines’ clearly- defines the position, and makes the suggestion ‘that the loss be reduced, etc. ... by the value of traffic (less 70 per cent, working expenses) contributed to the main line.’ This suggestion, if given full effect, would provide for an allowance of 30 per cent, feeder value which would be much fairer than the present allowance which was first made in 1926, presumably as a result of the commission’s report. , “In certain cases we consider that almost the whole of the main lines’ share of revenue should be credited to the branch lines. For example, stock trucked on the Waikaka line for the Mataura freezing works would not be trucked at all were it not for the facilities offered by the branch line. Another striking example is the Clifden line which is much nearer Invercargill by road than by rail.

“The circumstances of the case necessitating adequate recognition ,of the value of the branch lines in 1924 are even more pronounced now. Were it not for the feeding of the main lines by the branches, the traffic on the former would be considerably reduced and motor transport would be more pronounced. “Many branch lines are showing a loss on their working, but a fairer allowance of feeder value as suggested by the FayRaven Commission would in many cases turn the loss into profit.”