FINANCING THE HARBOUR

Taranaki Daily News, 22 August 1930, Page 16

FINANCING THE HARBOUR

FULL STATEMENT PROVIDED CHAIRMAN REPLIES TO CRITICISM OPTIMISM REGARDING FUTURE. CHARGES NOT TO DE INCREASED. r Replying to a suggestion made by the president of the Taranaki Chamber of Commerce (Mr. J. McLeod) at tjie annual meeting ot the Chamber on Wednesday night that the New Plymouth Harbour Board would be wise if it decided to take people much more fully irto ite confidence than had been its recent attitude, the chairman of the board (Mr. C. E. Bellringer) announced at a meeting of the board yesterday that he would .make a detailed statement of the board's position as soon as the figures were l available for the full financial year ending on September 30. Mr. Bellringer gave an assurance that it was not the boards intention to increase either the harbour improvement rate or the wharfage due«s. The possibility of a land rate was mentioned, but the chairman and Mr. Maxwell regarded the future optimistically, and thought such a rate would probably not be necessary. In introducing the discussion Mr. Bellringer said he did not propose to deal with the criticism at the present time, but after the completion of the board's financial year at the end of September he would reply to quite a number of the points raised. The board, he said, was fully seized with the position and was making most careful investigations, so -that he thought the report which would he given when the time came would satisfy all concerned and show that the board had been not insensible to its obligations or the question of the future development of the port. At the end of the year they would have available all the information about the finances of the board, and he. thought it would be better to wait until then.

HARBOUR IMPROVEMENT RATE. . He would, however, refer to the (statement that “suggestions that shipping dues be increased are being considered, and it has a!<so been suggested in some quarters that the improvement rate tax on imports be further increased." He did not know who had made the last s- ggestion, but whoever it was was entirely ignorant of the facte, and it was quite clear that the president of the chamber had not acquainted himself with the real position. The board at present collected a har/bour improvement rate of 2s Gd per ton and that was the maximum amount it was a.iowed by law to collect. No suggestion had ever coine from the: board about increasing this, as it knew' it could not do so. The board had never had in mind an increase in th:s rate or wharfage dues. It did not desire to drive trade away. The board was trying to arrange its finances so ms to avoid striking a land rate, and there was every prospect of its being abb to do so. It would not be prudent, lie thought, to speak of the future before the results of the present year were known. He felt confident that when it heard the board’s version the public would b-e more than satisfied. Mr. D, J. Malone thought it wise that some notice should be taken of the statements, as they had been made by such a responsible person as the president of the Taranaki Chamber''of Commerce. He had had the impression that a feeling existed that the board did not give° as full information as was desirable, but he took it that the. chairman’s promised statement would clear the air. The board had no intention of increasing port charges and making the port unpopular. If it was necessary to secure more income other means would have to be sought. the chairman had said would guarantee that the position of the board would be fully disclosed at the end of the year.

REGRET AT STATEMENTS MADE. Mr. C. EL Burgess considered that it was a pity that the statements had been made without the speaker fir<st obtaining correct information. If the Chamber of Commerce wa<s so intaieetcd in the work of the board it would help if, instead of. criticising the board a<s had been done, the members would meet the board in a friendly way. at a round table conference, if the president of the Chamber of Commerce had first gone carefully into the matter he would not have made the statements he had made. Figures in regard to shipping and cargoes were fully reported at every meeting, and he was afraid that Mr. McLeod did not read the reports. The special report of the harbourmaster, published in another column, was very opportune, said Mr. E. Maxwell, as it showed the progress being made in tlie matter of accommodation at the port, and a more satisfactory report could scarcely have been presented. The board, he said, was concerned with the present trade depression, but he thought that in that respect New Plymouth had not suffered nearly as much ae some other porta. In view of this situation the board would not hare been doing its duty if it had not gone very carefully into the financial position. It had been doing its utmoist to meet the special and extraordinary circumstances that had arisen. The exact financial position would be disclosed at the end of the financial year. The board would always be willing to meet the Chamber of Commerce and give it a* much information as possible. Apparently the Chamber of Commerce had not availed, itaelf of the facility for getting information, which was always available.

“REPORTS DAMAGING TO PORT.”

He felt very strongly about tlie damaging reports made. They muist be damaging to the port if they put into circulation statements to the effect that charges might be increased. Of that there had been no suggestion. The board wM trying to avoid it and adjust its finances to the situation without harming the port at all. Apart from fertilisers and bulk oil, the general trade of the port had increased, said the chairman, which was very satisfactory. The imports of fertilisers imported during the current financial year to date had decreased by 19,000 tons and bulk oil by 2000 tons in comparison with the figures for the corresponding period last year. General trade had increased, however, by 7000

tons, leaving a loss of 14,000 tons under those headings. Regarding fertilisers, he pointed out that two big cargoes of phosphates and one of sulphur fiad arrived at the very end of last financial year and had not all been used up till well into the present year. They had helped last year’s figures a good deal. He also understood that the'price of slag had increased £1 per ton and the demand had thus been lessened.

The problem before the board was to maintain its finances without recourse to a land rate, said Mr. J. R. Cruickshank, aiid at the end- of the year it might be necessary to discuss the advisability of levying one. ECONOMIES MADE DURING YEAR. The chairman pointed out that the board had made many economies during the year and there was a reasonable prospect that it would be able to pull through without having to strike a rate. He emphasised the fact that if one were struck it would be on capital value. The matter needed a great deal of consideration and to make public details before tlie board liad come to a definite conclusion ■as tp its policy would be a mistake. The accountant was keeping the figures up to date as the year progressed, and the board hoped that a few days after Septemb» 30 it would have the full position before it, and until then no one knew exactly What it would be. Mr. Cruickshank said that the New Plymouth Board was one of the few that had been able to carry on without availing itself of its rating powers. Mr. Bellringer said that if the Ne.v Plymouth Board struck a land rate it would be faced with the same position as at Wanganui, where people living m a district only about 10 or 12 miles from the port were* not liable. In its own district no rate could be levied on land .the other side of the Waiongoii'a River. It . would benefit from the port and not contribute a farthing. Then, in the outer area, the rich Waimate Plains would contribute-nothing, although 95 per cent, of the imports of the province came through New Plymouth.

He understood some of the coastal boats were going to Wanganui instead of New Plymouth, but a great proportion of its trade was coastal, whereas in New Plymouth much of the trade was direct and coastal boate found difficulty in getting back cargoes, as practically the whole of the exports and a large proportion of the imports were overseas borne. New Plymouth was. in the transition stage between a coastal and an overseas port and was bound to have some difficulty in this respect. He understood-that some of the coastwise, cargo from South Taranaki came through Wanganui, as the greater coastal trade induced'more coastal vessels to call there and enabled the companies to make a difference in charges. To show the proportion of the province’s imports which came through New Plymouth he said that last year the total was 159,000 tons, compared, with 4000 odd through Patea.

MARKED IMPROVEMENT, The' progress of tlie port.had exceeded his greatest expectations, said Mr. Maxwell. Years ago the harbour was practically a lagoon with a very narrow entrance, ’ There was only 6ft. Gin. of water in the channel, and there was one place only at the Moturoa wharf where a depth of. 12 feet of water had been available. There had been a time when people could walk dry shod m front of tlie Moturoa wharf. Then the board was levying the full fd rate which it was empowered to. Now tiie port had an entrance 1000 feet wide and a minimum depth in the fairway of 25 feet. At the overseas berths at the Moturoa and Newton King wharves there was now a depth of 33 feet, and on the outside berths of each wharf of 25 feet. The whole harbour was cleared out and the board had managed for 22 years without levying a rate. The nort had been developed from a pond to an overseas harbour. Both Patea and Wanganui had had to strike a rate. He thought that the public had nothing to complain of, but should be absolutely delighted with the progress made. What had already been achieved was beyond even his glowing dreams. He felt practically certain that there would be no need for a rate or increased charges, and he was satisfied that they were weathering the temporary depression.

DECREASE IN REVENUE. ~

The figures as disclosed indicated that there would be a considerable shortage in ’revenue, said Mr. D. J. Malone. It appeared that this would not be met by the economies in working, and it was as well that the public should be made aware that there was a possibility of the board being forced to levy a rate. If it was found necessary, in the interests of the harbour, to levy a land rate, he thought there would be very little opposition from the people. of his district (Stratford). Mr. Bellringer; I would. like to think tnat.

Mr. Malone was inclined to think that the most opposition would come from New Plymouth. The step might be necessary. Mr. Burgess said he thought the board’s policy had been, to avoid any talk of, a rate until it started on its new programme. He thought some of the talk outaide was with the tendency to force the hands of the board before it was ready. He represented a country district and he did not want a rate before it was absolutely necessary. They could now berth four ocean-going liners at the one time, and he thought that was sufficient proof that the board was. on the right lines. He thought it was a wise policy to go slowly- till things Improved. The chairman stated that the assist-ant-harbourmaster had told him that 50 per cent, more trade could be handled with the present facilities, which meant that the tonnage handled could increase from 200,000 to 300,000 tons. He had said the same thing previously. The engineer had also said that the Moturoa wharf could be kept in commission fcr an almost indefinite period at a reasonable repair cost. The engineer (Mr. G. W. B. Lowson) said that the centre of the wharf would probably perish and need attention, but the edges wore in'fairly good order. .“The port,” said Mr. Cruickshank, “is passing from the status of a coastal port to that , of a main port.” There -was no further discussion.