MOTOR TRANSPORT

Wanganui Chronicle, Volume 77, Issue 210, 5 September 1934, Page 12

MOTOR TRANSPORT

1 VALUE TO WANGANUI SAFEGUARD TO TRADE SUPPORT FOR LOCAL CARRIERS . DEPARTMENT CRITICISED. The importance of motor-lorry trans- ' port to the port of Wanganui in view of differentiation in railway freights allowed other ports was stressed in evi- ’ dence given to the No. 5 District Licensing Authority at Wanganui yes--1 terday by representatives of the Wanganui Chamber of Commerce- and the Wanganui Harbour Board. They supported the application by A. J. Erickson for the renewal of his goods service » licence to operate between Wanganui and Hawera. Mr. P. Thomson presided, and as- • sociated with him were Messrs. R. A. Wilson and J. G. Rolleston. Mr. R. S. Withers appeared for Ericksen, and held that the service performed the proper function of motor transport, serving as it did two large centres, Wanganui and Hawera, and a thickly populated area between. The i application was opposed by the Railways Department, represented by Mr. A. G. Grant, and also by the Hawera Carriers’ Association. Mr. Withers called Mr. E. A. Rankin, vice-president of the Wanganui Chamber of Commerce, to support the application, together with Air. W. J. Gardner, secretary of the Wanganui Harbour Board. Both stated that owing to the methods of competition employed by the railway in granting differential freights to other ports, the port of Wanganui was obliged to rely upon motor transport. Mr. Gardner said that motor transport was the only safeguard the port had to retain its trade. Mr. Grant held that no differentiation was shown by the railways to other ports as against Wanganui. The Authority reserved its decision. Proper Motor Transport.

Mr. Withers said that the service ■ was confined to the district between '■ Wanganui and Hawera, operating over ’’ a distance of 58 miles. It did not run a to Wellington, nor did it connect up " with New Plymouth. General goods and merchandise were carried re ship and store from Wanganui, while wool, tallow, empty crates, skins and similar goods were brought back. Operations - were also carried out from Hawera towards Wanganui. Mr. Withers held that the service fulfilled the proper r functions of motor transport, serving f . as it did two fairly large towns and J the districts immediately surrounding n them. It was not long term haulage in any sense of the word. ’ A. J. Ericksen gave evidence to the effect that he held an area licence to operate between Wanganui and Hawera, and 10 miles on either side of the road An additional area was also covered, for the cartage of wool. A daily service was run, and his business had been steadily growing during the past 18 months. Several large firms in Wanganui and Hawera availed them selves of his service. Applicant Cross-Examined. * Cross-examined by Mr. Grant, wit- ’ ncss said he wanted permission to run an extra vehicle on the road to cope with the business. He was aware that ‘ he was not the only carrier operating over the district and that. Messrs Wright’s, Hardy’s and the Highways 1 Transport were operating in the dis--1 trict. He also knew that, the railways 1 operated services between Wanganui ’ and Hawera. The New Zealand . Express Co. were also licensed to operate but were not running. Mr. Grant; Why are they not run ; ning? Witness: I don’t know. Mr. Grant: Perhaps they found the competition on the road too severe? — Perhaps. Mr. Grant: You know that Wright’s and Hardy’s have authorities for six 1 vehicles each, and the Highways Trans- ’ port have authorities for 18 vehicles.— 1 believe so. Mr. Withers: The Highways Trans : port don’t operate all 18 vehicles between Wanganui and Hawera. . Mr. Grant: They have the authority to run them. With. Bricksen’s service there are 31 vehicle authorities for that

area. Asked whether he did not think such a number resulted in wasteful competiI t-ion, witness said, he did not. He was receiving his share of the business and He considered there was sufficient work available to make a second lorry pay, since he was already overloading his present vehicle from two and. a-half to up to four tons on four days a week. Re-examined by Mr. Withers, witness said from his observations, Hardy’s, Wright’s and the Highways Transport Co. were operating only two lorries each between Wanganui and Hawera. The 18 vehiclar authorities held by the Highways Co. were interchangeable and covered a wide area. Hardy’s and Wright’s also operated over an extensive area. Questioned by the authority, witness said his prices, in most cases, were the same as those of the railways. In some cases his prices were higher, by reason of his delivering from door to door. Railways “Livened Up.” Mr. A. E. Rankin, vice-president of the Wanganui Chamber of Commerce, aud manager of the Wanganui branch of Messrs. Mason Struthers, said that the chamber regarded Erickson’s run of importance to Wanganui. He considered there was no doubt that, since the motor transport had begun, the railways had livened, up considerably and were providing a better service. This, he considered, was due almost entirely to the

presence of the road transport. Mr. Withers: And the chamber considers that were the motor transport prevented from developing, it would again give the railways a monopoly? Mr. Rankin: Yes, they would go back to their Rip Van Winkle methods. Mr. Withers: There has been a considerable reduction in freight rates due to the introduction of motor transport?—Yes. From your knowledge as a business man has there been an improvement in business recently?—Yes, there has been a substantial improvement. That, of course, has an effect upon the traffic up and down the coast?— Yes. If adequate motor services were not provided, do you consider the public interests would suffer?—l certainly do. Has tho railways, to your knowledge,

made any alterations in its rates or taken steps that are a-gainst the interests of Wanganui as a distributing centre?—Yes. They issued .special rates from Wanganui to Napier, but were refused. The Railway Department also issued special rates from Wellington to Dannevirke. The chamber protested, but the department would not grant similar rates from Wanganui to Dannevirke. The department also instituted special differential rates at New Plymouth in the way of not making handling charges, which are collected at Wanganui. Consequently this has diverted traffic to New Plymouth, which should come via Wanganui from the South Island. Have the truck rates between Wellington and Palmerston North affected Wanganui?—Yes, they have substantially affected the coastal shipping trade of Wanganui. South Island goods which used to go from .Wanganui to Palmerston North are now going from Wellington to Palmerston North. Mr. Wilson: What has this got to do with Hawera? Chamber’s View. Mr. Withers said he wished bo have it pointed out that had the Chamber of Commerce desired to have motor services provided to meet competition from the railways. It was in the interests. of the public of Wanganui that road transport should be available to meet the railway’s attitude, which was resulting in goods being sent .100 miles past Wanganui to New Plymouth for distribution from there. Mr. Thomson; Does- the chamber fieel that because these differential charges are being made by the department—the remission of handling charges at New Plymouth and not Wanganui—that the road motor transport facilities from Wanganui arc •neces-sary to offset the difference in the railway's charges? Is that the point of your chamber’s arguments? Mr. Rankin: Yes, that is one of our arguments. Air. Thomson: Does the motor transport go to the ship’s side for the goods or to the stores? Mr. Rankin: They take the goods from tho wharf sheds. Mr. Withers said that at New Plymouth goods were taken off the ships and carried by the railways three miles to the town fur sorting. No charge for that haulage was made for goods going to Hawera., but a charge was made for goods going south of Hawera. Business Improving.

e Mr. Rolleston: Has the chanibe i had any difficulties in transporting r goods to Hawera or does it think tha i the facilities should be’ increased? > Air. Rankin; If business continue s to look up as it has during the pas i 18 months, extra services will be re , quire d. r Mr. Rolleston: As far as you know s the present facilities are sufficient? Air. Rankin: 1 dn’t know of any in 1 stances where there have been com - plaints. r Air. Thomson: Has there been any 1 delay in handling goods for Hawera?— r I have had none, i Air. Grant (representative of the railways): You mentioned that the obi jection to railways transport was the , double handling and also said the road [ service was more convenient. I suppose you are aware we are handling i most of the flour for all stations from Wanganui to Hawera? Air. Rankin: 1 am glad to hear it. Mr. Grant: We get that because our rates are cheap. Do you consider that the general merchandise in cases requires more careful handling than flour in its t-hin bags?-—The advantage of the road transport is that goods are picked up from the warehouses and.delivered at the customer’s door. I have not meant to refer to damage but to convenience. Air. Grant: With regard to urgent rings you say you received for goods to be sent into the country: Ericksen leaves once a day for Hawera, so how would you be able to seud goods by hint if you received rings in the afternoon? —There are lots of other services. Claims by Ports. Quite so. the railways have live as it happens. You state that the differential rates are unfair to Wanganuii. Do you consider Wanganui has more claim to supply goods to Hawera than New Plymouth has?—Certainly 1 do. You are aware that the amount of traffic from New Plymouth lo Hawera is more than six times as great than from Wanganui to Hawera, and that we have rates in. favour of the port of Wanganui to Hawera du the same way as there are special rates from Wanganui to Palmerston North, Ohakune, Raetihi and from New Plymuth to Hawera?—Yes. As a representative of the Chamber of Commerce, you are supporting road services. I suppose? 1 see that in this morning’s paper a statement coming from the chamber stating that it supported road transport from and through Wanganui.—Not entirely. We are not hostile to the railways, and we do not want to take business from the Railway Department, but for many road services the convenience to the public is so great, that we say road transport should be considered in the ■interests of Wanganui as a commercial city. And do you consider the Railways Department is of any value to Wanganui? —Well, I should say so. Yes. We are a very considerable benefit to the community. How many men do you think we employ here in Wanganui?—Four hundred to 500. Exactly. You are not far out. The number is 489. What do you think the wages bill would be per week?—After the restoration of the cuts? (Laughter).

No. before that. It is £lB7B a week. In one year we pay out £97,656. I venture to say . . . Air. Withers: Is this a speech? Mr. Thomson: You must put questions to the witness. If the department desires to give evidence, you can put a witness into the box. Air. Grant: All right, sir. Air. Withers asked Air. Rankin whether it would be true to .say that the growth of motor transport had been due to the people who received the goods stating the service to be used in their delivery. Air. Rankin considered it would be true to say so. Air. Thomson: It might often be handy to work off a contra account, of course. Harbour Board’s View The hearing of evidence in connection W’ith the application was adjourned until the afternoon, when Air. W. J. Gardner, secretary of the Wanganui Harbour Board, was called. Air. Gardner said he had made a study of the transport requirements for the port of Wanganui and its district. In his opinion, the port was the proper distributing centre for a district taking in Hawera, Raetihi. and Palmerston North, which might be called the zone jf the port*

The port catered for all classes of merchandise, coming from the South Island, Wellington and Australia. The thickly populated district between W’anganui and Hawera was served by Wanganui, and the class of goods handled would be suitable for carriage by motor lorry, which was of great benefit to Castlecliff.

Mr. Withers: The only railway connection Castlecliff has is through the Castlecliff Company? Mr. Gardner: Yes. With the motor transport, the Harbour Board can deliver the goods to the lorry and obtain a receipt for them and someone is responsible for the goods from the time they leave the ships’ slings until they reach the consignee. The Castlecliff railway, which is regarded as a siding, will not give a receipt for goods and the railways will not give the Castlecliff railways a receipt, so that if there is a shortage of goods, everyone refuses to pay. Mr. Gardner said he thought the motor lorry service would be effective for carrying urgent and general lines of goods for a distance of 60 and 70 miles round "Wanganui. The Only Safeguard. Air. W’ithers: For short hauls, the motor transport is the most effective? Air. Gardner: Y'es, and it is really the only safeguard we have got to “retain the trade of the port. Asked for instances in which the tariff rates of the railways had been detrimental to the port, Mr. Gardner quoted the case of the sugar competition by the railways in which they had cut their freights to compete with the seaborne .sugar from Auckland, although a higher rate had been charged towns nearer Auckland than Wanganui The railways had also cut the rate for the <aiiiage of casein from Aramoho to Wellington, although goods using the same class truck from Palmerston North to Wellington had been charged at a higher rate. Air. Gardner also said that differentiation had been made on north-bound goods reflecting against the port. “There is nothing, as far as I can find, m which the Railways Department helps the port of Wanganui,” he added. “It seems to be that the railways, in endeavouring to get their trade back may be said to be making rear attacks on Wanganui, that is to say Hawera and Palmerston North can be attacked by routes from outside the port’s zone.” Air. Gardner said there had been a

(T considerable decrease in general mer- * chandise brought to the port of Wanganui as a result of differentiation s ' shown by the railways in their rates to t other ports. Air. Withers: The actions of the Railway Department are definitely inimical to the port? Air. Gardner: Yes. Mr. Withers: And the only means - you have of meeting the competition is with motor services? / Air. Gardner: Yes. Railways Denial ' Mr. Grant denied that the railways } were operating against the port of j Wanganui or that differential rates were being granted tu other ports. r He said that with regard to the ship- ] ping of sugar from Auckland, the busi ness people had considered the shipping company held a monopoly and had , asked the to give a lowei . freight. The railways had replied . that they would providing that they ■ were given full truck wads. “ You will admit that owing tu competition ■ from the railways, the shipping people had tu reduce their charges,” he asked • Mr. Gardner. i Mr. Gardner: Yes, they had to. Air. Grant: Will you admit that was any benefit tu the community? Air. Gardner: No, because the reduc lion of su much over a ton would be a little extra profit to the storekeeper. Air- Grant pointed out that sulpnur was landed at the port and taken to Messrs. Kempthorne, Prosser by railHe asked. Air. Gardner whether it. would be economic for that class ot work to be handled by lorries. Air. Gardner said that each form of ' transport service had some particulai usefulness of its own. Railway Facilities Air. Grant: The beauty of uur service is that it caters fur everything. Air. Grant also asked Air. Gardner whether be would admit that, the Kail way Department could handle all the tonnage going into the country from the port. Mr. Gardner: Yes, if the same con sideration were given to us as to othei places. We say that motor lorries are necessary for our own preservation unless the Railway Department gives u> the same consideration as other ports. Evidence was given by Mr- Grant in which he claimed that no differentiation was shown New Plymouth as com- . pared with Wanganui in regard to railway freights. Cross-examined by Air. Withers, he admitted that a cut was allowed New Plymouth goods for handling and sort- r ing on account of the bulk handled. Air. Withers: Why not give the same consideration to Wanganui? Air. Grant: If the Harbour Board would guarantee to give us the whole of the business, we would. Air. Withers: Do New Plymouth give a guarantee? Mr. Grant: No, but we get the business. Air. Withers submitted to the Authority that the case was one in which road transport operators should be allowed to develop* If the road services were to be kept down and not allowed to expand, the result would be that the Railway Department would have a monopoly and the position in force years ago would be reverted to. “The Railway Department come he.te and object to competition when they themselves are carrying out such absurd tariff differentiations between various points. Their objections should not be considered by the Authority fur one moment. If the Railway Department is going to meet competition in this way, then it stould fa."e the com petition from the motor road transport scrv ces and not come alo ‘g «'.ml object to any attempt to develop motor transport that is -l<-w desired,” said Air. Winners. “Th*.- AvlhoTity will reser»"? its decision. ’’ said Air. Thomson. The following have been granted re newals of their licences by the Authority:—Albert Harold Nagel, David Harold Robb, William Rountree, William Frederick Carvell, Larhs Henry Nielson, Albert Victor Thompson, John Raymond Carvell, Eric Henry Trask.