Power Boards Not Unfairly Competing

Sun (Auckland), Volume III, Issue 734, 6 August 1929, Page 10

Power Boards Not Unfairly Competing

TRADE AND SERVICE “STATEMENTS GENERALLY WRONG” • For the electrical industry , n New Zealand to progress to th best advantage, there must be cooperation and harmony between the trade and the supply author ties." says the Secretaries - Com mittee of the Electric-P 0 vv er Boards' Association, replying to statements made through t(,« Press by the "1928 Committee" reference to the trading o per> tions of power boards. • The obvious intention of statements is to create a public opion that will influence the with the idea of getting regula* 0 - legislation passed which will entb, the electrical traders to obtain dir ei control of that section of the trad which they now supply indirect,, through the power boards. Certadefinite charges were made agaiic the power boards, and the first inclins tion of most connected with th= boards was immediately to refute it statements made.” The Secretaries" Committee const, ered that such individual action won not have the same effect as a gtaq ment issued by the Power BoardAssociation, based on definite m ot mation obtained front every board i. New Zealand. A schedule of questions was snt„ mitted to every power board in N„ Zealand, covering the complaints of the “192 S Committee.” and these arc set out below, together with the sum marised replies received. In regard to an allegation that somof the boards specialise in certain lines to the utter exclusion of com* peting lines, 33 boards replied tluthey did not so specialise; two that they did as regards ranges only: onreplied “not trading in any way,” one board did not reply. Asked to supply facts in connectioi with their attitude in regard ~ financing installations and app ances. replies showed thi Twenty-four boards made no di< tinction; only four finance instal lations carried out by themselcc: or put through them; one finance all installations and appliances ei cept ranges, which must be purchase! through the board; one, for motor only; one finances any installations but only appliances purchased throupi the board: two boards do not finance at all; and one board did not reply. MAKING UP LOSSES In reference to distinctions in servicing installations and appliancemade direct by traders and those b boards, 20 boards said they made un distinction, and seven said extra setvice was given in cases of appliance; sold by them. It was denied by 37 boards that electricity selling charges or ratehad been increased to make up trad ing losses; and 30 denied that Drirattraders had been compelled to par interest while waiting long periods in receive payments from hoards. Five boards replied in the affirmative, tur stated that almost without exception the delay in payment had been for construction material, and not trading goods. The charge that sole agencies bail been adopted, and that recognition was refused to other lines, was absolutely denied by 36 of the 37 boards, the remaining board not replying. Wiring was carried out by boards' own staffs in the case of nine boards and by 12 to a limited extent It was also stated that only two boards advertised in competiticn with local traders. “WRONG AND MISLEADING" “From information obtained from boards, it is shown that since ib» power boards commenced operatbnmaterial and equipment to the vainof £4,458,455 has been purchased through New Zealand traders by the--boards,” states the report. “We think it safe to say that oxc £7.000,000 of supply Authorities roothas passed through the hands of New Zealand traders since powd boards commenced operations. This we consider, is mainly responsible i the agitation which is taking place day. Owing to the very large nmoui. of business offering on account c power boards' operations, many ele trical firms came into existence, witt the result that now most boards ha' completed the major portion of thei schemes, the trade is overcrowded, an ß the traders are feeling the pinch ho-over-corn petition.“ “We think it is clear from the formation collected that stated made by the 192 S Committee at generally wrong and misleading. “It is possible that misunderstaJ ings exist, and the present unsausß tory position could probably be rle—up by arranging a conference of repsentatives of the Electrical Tra Federation and of the power boa