THE TRAMWAYS

Southland Times, Issue 21770, 27 July 1932, Page 8

THE TRAMWAYS

DROP IN REVENUE COMMITTEE CHAIRMAN’S STATEMENT SAVINGS EFFECTED The chairman of the Tramways Committee (Cr. J. H. Tattersfield) presented the following statement on the tramways at last evening’s meeting of the City Council:— There has been a great amount of talk about the tramway losses. The trams in this respect are doing as well as the majority of businesses at the present day, though they are suffering under just as great, if not greater, disabilities. The returns show that the working costs and interest bill are being almost completely paid out of revenue. The sinking fund and depreciation charges, which are provision for repaying loans and replacing plant, have to be found from other sources.

Recently an expert was asked to investigate and report on the tramway undertaking. That report, while making suggestions to the council which might effect improvement in the finances, viz., raising fares, also showed that the undertaking was being conducted on sound and economical lines. We have authorized several alterations to the timetables which, without inconveniencing the public, will result in a saving of over £3OO per annum. The two main causes of the reduced revenue are, the prevalence of unemployment, and the number of prospective tramway passengers carried by private motor cars. Probably neither the motorists nor their passengers stop to think that the revenue thus lost to the trams must be eventually found by them in another way. With a view to assisting the tramways revenue, we have decided to conduct an advertising campaign by means of posters on the tramway advertising boards, and by this means endeavour to bring home to the public, what their tramway system means to them.

The following may be noted as part cause of drop in revenue: Bitumen roads, more private cars, and especially private cars picking up tramway passengers. In 1928 the Tramway and Electricity Departments were put under one head and the balance of the cars were converted to one-man; this effected an annual saving of approximately £l9OO. The staff has been reduced to a minimum, and expenses are being kept as low as possible.