THE OHAI RAILWAY

Southland Times, Issue 21772, 29 July 1932, Page 7

THE OHAI RAILWAY

RATEPAYER’S GRIEVANCE. ONE SIDE OF THE CASE. , To the Editor. Sir, —When the possibilities of the Coalfields in Ohai were first realized it became necessary to have a means of transporting the coal to the nearest railway. Presumably the Government at that time were unwilling to risk the construction of a railway to serve the Ohai coalfields. In order to get a railway constructed the coal companies—their undeveloped properties at that time being of very little value by way of security—were compelled to call on the settlers of the district to allow themselves to be made into a railway district and to offer their land as security to allow money to be raised so that the project could be underThis was done to the mutual benefit of the settlers and the coal companies. The bdard having a sure and safe source of revenue was soon in a sound position and was able to pay for the cost of construction out of revenue until to-day the board’s balance-sheet shows a surplus of assets over liabilities to the extent of something over £IOO,OOO. When the board was first formed it was undertaken with the idea that the Government was to be requested to take over as soon as possible. At the statutary meeting of the ratepayers held some weeks ago the ratepayers passed unanimously a resolutionsuggesting that the time was ripe to approach the Government and at the same time condemned the unnecessarily high salaries of the officials employed by the board and recommended economies in that and other directions. The General manager at present receives £B9O a year and a free car and its upkeep. He lives in Invercargill and motors to Wairio and back daily. This means that under this system he can only spare two or three hours daily towards earning his £BOO a year and it seems hardly fair to the board. Previously the railway was run by the present traffic manager, satisfactorily I think, too, with the chairman of the board at £2OO a year to supervise. The traffic was as large then and there was more constructional work on hand as well. In addition there is a large high paid staff. In the general manager’s own words at the meeting of ratepayers mentioned previously he said: “The present staff could cope with 50 per cent more traffic.” The ratepayers drew the obvious inference that the traffic offering could be dealt with by a 50 per cent, smaller staff. , , When it was suggested at a board meeting that the 10 per cent, cut be applied to the board’s staff to fall in line with the rest of New Zealand, the general manager would not hear of it. So the railway staff with less work to do are still drawing the same—perhaps more—salaries and wages than were in operation two or three years ago. So far I don’t think the ratepayers have been at all unreasonable in their suggestions. , In accordance with the ratepayers request the board has approached the Government with the view of having the line taken over but met with a curt refusal so far as they can understand. What naturally rather embitters the ratepayers is that they can get no information from the board as to how the proposal was put to the Government and whether or not anything over and above the £40,000 at present owing to the Public Trust and bank was asked for. Further they cannot find out on what grounds the Government refused to accept a gift of £IOO.OOO. The ratepayers surely are entitled to be taken into the confidence of the board, their own elected representatives. In the meantime the coalowners, fearing that after the elections of board members to be held next month, they will not have things all their own way, are attempting to have legislation put through . giving the coalowners a majority representation on the board. It is freely granted that the railway depends for its existence on the coalmining industry—the miner contributing surely as well as the coalowner. It seems that there are grave dangers ahead if the board is allowed to proceed with their high-handed methods. If at the election to be held next month the personnel of the board can be made to really represent the ratepayers . I take it the new board would do. all in its power to further the negotiations with the Government, and if need be ask the Government to strike a special freight rate over the Ohai line until such time as it could be profitably linked up with the Government Railways proper. Further, I take it the board would cut down expense in the operating costs and incidentally put the general manager in his place. It is common knowledge that the general manager has been the cause of the strained relations between the board and the ratepayers. In fact to all intents and purposes the general manager is the board. The only individuals who can possibly be against the ratepayers’ general requests are the board’s paid servants and the ratepayers do not see why the welfare of the district and even New Zealand as a whole should be disregarded by a solitary individual, as it is freely granted by everyone that the cost of all classes of freight on this line would be greatly reduced under Government control.. This statement puts the whole position as fairly as possible before the public and it should be the duty of the Press, who surely have the welfare of the community at heart, to get to the bottom of this vexed matter and endeavour to find a solution to the benefit of everyone. It should be borne in mind that under Government control the price of coal to the consumer must be reduced and that failing Government control increased economy effected by the board would to a lesser degree achieve the same ends. Perhaps a general statement of the whole position in regard to the Ohai Railway Board is desirable to clear the matter up. It is conceded on all sides that the settlers who originally made the construction of the railway possible are still entitled to a major representation on the board. The ratepayers last week met the board to hear the results of the board’s negotiations to have the railway taken over by the Government, also to discuss ways and means to effect economies. At this meeting the board briefly told the meeting that the Government would not take over the line and added they intended to postpone the election for three months and that they intended in the meantime to ensure adequate representation for the coalowners on the board. At present the board contains three coalowners. The ratepayers vigorously protested against postponing the election and expressed their surprise that none of the letters offering the railway to the Government nor the Governments reasons for refusing so good an offer were placed before the meeting and further they were disappointed when the board refused to answer any ques- ; tions or discuss ti?e question of economy. . The board then sent their general 1 manager, a coal owning board member and their solicitor up to Welling- : ton to attempt to have an Oraer-in-i Council put through postponing the ' election for three months and to give the coalowners a bigger representation on the board. From the tone of Mr Excell s statement at the meeting it was generally . understood that the coalowners wished I and intended to gain control of the i railway, which is not considered desiri able by the ratepayers.. This, howi ever, it is understood privately, is not , the coalowners’ intention but the ratepayers wish to ensure that this will not

take place, hence their desire for the election to go forward On Sunday, Mr W, J. A. McGregor, a farmer as well as a coalowner suggested that the whole affair could be fixed up by vesting the railway in the Crown and the railway to be administered in trust for the Crown until such time as the Crown linked it up with the Government Bailways, the board to be constituted roughly as follows: Two or three representatives for the settlers, two for the coalowners, one for the miners and one possibly for other combined sections of the community. A meeting was effected between Mr McGregor and Mr Edmonds, who represents the big body of dissatisfied ratepayers—and it was agreed that the proposed arrangement would be likely to be most acceptable to all parties concerned, one of the conditions being that the board elections be held as is laid down next month. Both Mr McGregor, and Mr Edmonds signed a telegram to the Hon. Adam Hamilton ; to the effect that if the election pro-

ceeded as usual they considered a happy way out of the difficulty was assured. It was also agreed that the board recall its representatives from Wellington. A day later Mr McGregor thought that as a member ot the board he was not justified in sending this telegram with his name on it, so it didn’t go forward. Later in the day Mr Fraser, a board member, exerted his influence for reconciliation and he met Mr Edie, chairman of the board, and other board members, and the following telegram was sent to Mr Rodger, the board’s general manager, now in Wellington: “Since you left amicable settlement practically certain benefitting coalowners and all concerned. Please suspend negotiations and return. Edie, Chairman.” The chairman later received word by ’phone from the board’s solicitor, from Wellington, that unless action reconstructing the board were put through at once and the election postponed it

would require three years before the contemplated agreement reached between farmers, coalowners and miners could be affected. Under an amendment to the Railway Act this on the face of it seems inaccurate and further as the vesting of the board in the Crown would require a special Act of Parliament-the board’s solicitor could not have known what was contemplated down here. It then becomes obvious that the board’s representatives in Wellington have either misrepresented the law to the board’s chairman or are not cognisant with the suggested arrangement agreed on down here. However, acting on the-board’s solicitor’s advice, the chairman rather than hold up for three years the proposed rearrangement of the board, revoked his instructions to the general manager artd it is understood the board’s representatives are continuing to negotiate for the postponement of the election against the direct wishes of the great majority of ratepayers.

A petition has gone forward to the Governor-General containing 140 signatures out of a roll of about 230 praying that the election proceed. The whole of one ward was left uncanvassed out of courtesy to Mr McGregor and it is thought that if this area had been canvassed the whole of the ratepayers,- allowing for absentee ratepayers, with a few exceptions would have signed the petition. Finally if the board would stop negotiations for postponement of the election the whole business could be satisfactorily fixed up by the new board. On the other hand if the board continues deliberately to flout the wishes of the great majority of ratepayers a feeling of deep resentment will be engendered in the district, which would be a great pity. The ratepayers feel that with the present members of’ the board they would possibly not have the arrangement agreed upon framed to their satisfaction.—l am, etc., E. A. WILDING.