RAILWAYS REVENUE

Timaru Herald, Volume CLVIII, Issue 23347, 2 November 1945, Page 4

RAILWAYS REVENUE

Second Highest On Record Substantial Decrease On 1943-1944 (Special) WELLINGTON, Nov. 1. Although, as anticipated, there was a substantial decrease in net revenue for the year compared with the previous 12 months, the total earnings were the second highest on record, said the Minister of Railways (the Hon. R. Semple) in presenting the Railways statement to the House to-day. The gross revenue was £14.459,750, compared with £15,325.306 the year before. The net revenue of £1,199,473 showed a decrease of £1,368,497 on that of 1943-44.

Last year's expenditure included a stun of £410,500 which was set aside to meet future expenditure on maintenance and deferred work. The reserve for track renewals stood at £940.361. having been built up on the basis of a normal year's renewal work. "The coal suunlv has been most difficult throughout the year, notwithstanding the reduction in train mileage resulting from restricted train services,” continued the Minister. “The total quantity of coal consumed bv locomotives fell from 634,007 to 576.926 tons. The consumption of hard coal decreased by 79,111 tons, but that of soft coal increased by 22,030 tons, thus making a net decrease of 57,081 tons. "The decision of the Government that the railwav organisations should have their claims for improved salaries, wages, and conditions decided by an independent and impartial Tribunal was implemented during the year. The length of the hearings and the extensive range of subjects dealt with serve to strengthen the view that it is not possible for a Minister of the Crown uersonally to deal with and give proper consideration to all the problems which may arise relating to industrial conditions in a service as large and as varied as the railways. While all railwaymen may not be satisfied with all the decisions of the Tribunal—indeed, it would be verv surprising if they were—it is felt that thev did give a large measure of satisfaction and that the establishment of the Government Railways Industrial Tribunal has been fullv justified. “The additional cost to working exoenses of giving effect to the decisions of the Tribunal for the vear under review is estimated at £752.190. The decisions onerated for only nart of the year, and for the full coming year it is estimated that the additional cost of both workto- and caoital exnen e es will be £1.114.800."

Prospects For Year

Present indications were that the coal position would not improve appreciably during the coming year, said Mr Semple. Greater use of road transport as the result of the petrol situation presaged a falling off in revenue in the next 12 months', but this might be more than offset by an increase in production. While revenue may remain stationary’, expenditure would increase sharply, as the result of wage increases, resulting in a net revenue return of little more than half that realised in 1944-45. In the Interests of stabilisation, it had been decided that no increase should be made in fares and freights in the meantime. “Post-war development, both immediate and long-term, has been the subject of investigation and consideration for some time now," Mr Semple said. “The suecial new works investigated and the stages reached are. briefly, as follows: “Hutt Valiev electrification.—The investigation of this scheme has b“en completed, and the report is now in the hands of the Government for consideration.

“Rimutaka tunnel.—An investigation committee has this matter well in hand, and their report will be submitted to the Government in the near future.

"Auckland suburban electrification.— This is a large undertaking including, as it does, provision for industrial lines in the vicinity of Auckland. Shortage of technical officers has held up the progress of investigation, but with the return of men from the Armed Forces it is anticipated that substantial propress will now be made. "Nelson-Inangahua line—The report of the committee investigating this work is practically complete and will be submitted to the Government prior to the end of October.

“Work upon a number of projects was suspended at the outbreak of war and among these projects were the following:—Papakura - Horotiu duplication; Palmerston North deviation and new station; North Auckland line grade easements; Marton rearrangements; Bonny Glen-Turakina grade easement; St.’ Leonard’s-Sawyer’s Bay deviation and duplication; Frankton Junction rearrangement and Frankton Junction-Claudelands lowering ano duplication of line; McKay’s Crossing - Otaki dupluation. “Important works in progress when war broke out and on which it has been possible to make a certain amount of progress during the war years include the Christchurch new’ station and rearrangement of y’ard and terminal facilities, and the Turakina-Okoia deviation. In addition to these projects, there are a number of other works which are listed for attention, such as new stations and goods-sheds at Stratford and Hastings, new station at Greymouth, extensions and new goods-sheds at Dunedin, bus terminals at Wellington and Lower Hutt, new locomotive depots at Westport and Invercargill, and the rebuilding of some 50 stations and goods-sheds. “All of these works are receiving consideration, and an order of prioritv will be decided unon in collaboration with the Ministry of Works.” concluded the Minister. “Tire building of new locomotives and rolling-stock has, of course, been interrupted during the war. and there is an extensive nro-er?n-me for *he building of locomotives multiple units, carriages, and waggons Having regard to this programme, no difficulty is anticinated in readilv rehabilitating the 4821 railwav emplovee; still absent with the Armed Forces should thev all decide to resume the!’ careers with the Department.”