PETROL PUMPS

Te Awamutu Courier, Volume 79, Issue 7147, 19 December 1949, Page 6

PETROL PUMPS

REDUCTION IN NUMBER SUGGESTION BY MEMBER OF CHAMBER OF COMMERCE ■When the Hamilton Chamber of Commerce at its meeting on Tuesday night was considering a suggestion concerning remits for the annual conference of Associated Chambers at Blenheim, Mr C. B. Hansen said the time was probably not opportune to forward a remit on the subject of the price of petrol and means of ensuring better distribution. He agreed that it was a large subject, and likely to be controversial, but he advanced the opinion that Associated Chambers could better handle the subject than one single chamber such as Hamilton. Mr Hansen said there was very considerable overhead due to the multiplicity of service pumps throughout the Dominion, each installation costing perhaps £5OO- In his opinion there were too many pumps, in support of which claim he pointed to the- fact that few pumps were fully patronised. Hamilton had over 100 pumps, and he claimed that 10 could meet the demand if run properly. In effect, about 40 motorists were paying the overhead on each £5OO pump. Surely, said the speaker, the oil companies could combine to reduce the costs to the motorist. Another member replied that if the suggestion were carried to its logical conclusion, it could be held that there were too many grocers, jewellers, and other retailers. Demand Not Spread Mi- G. M. Morris thought the scheme would prove impracticable, and instanced a recent holiday when his staff was in attendance at the bowsers. For two hours there was no custom, and then the next two hours everybody was fully occupied supplying the demand, and still there were waiting customers. That demand could not be spread evenly over a day or even half a day. Mr Hansen said he was assured petrol cost more in New Zealand than in any other part of the Englishspeaking world. The Government took Is 4d a gallon out of the retail price of 2s lOd. There were probably 20,000 pumps in the Dominion. One member divided the 2s lOd into tax Is 4d, retailers’ profit 3d, freight 2d, and landed cost 9d, to show that there was not much unaccounted for. He added his opinion that the companies relied more for their profit upon oils rather than petrol. After some further discussion it was decided not to forward a remit to the conference, for lack of verification and consideration in the short time available.