CONTROL OF WHARVES

Wanganui Chronicle, Volume 80, Issue 248, 19 October 1937, Page 5

CONTROL OF WHARVES

HARBOUR BOARD OR RAILWAYS? GOVERNMENT’S PROPOSAL MR G. H. MACKLEY TO REPORT The suggestion that the control of the Wanganui Town Wharf, a present held by the New Zealand Railways, should be taken over by the Wanganui Harbour Board, was discussed at the meeting of the board yesterday. On Wednesday last, Mr G. H. Mackley, General Manager for Railways, met the Harbour Board and conferred with them on the proposed transference. It was decided to hold the matter over until the next meeting of the board, when a report will have been received from Mr Mackley. Mr W. J. Rogers, chairman of the board, reported as follows on the meeting:— “Mr Mackley thanked the chairman and members of the board for their welcome, and for meeting him and his officers. He stated that his | visit to Wanganui was the outcome of a letter sent by the board to the Minister, asking that the control of the Town Wharf should be handed over to the board, and in pursuance of a discussion which Mr Rogers had with the Minister in April last. Circumstances, however, had prevented an earlier meeting and he hoped that as the outcome of the negotiations the department would be relieved of the Town Wharf and the board take over the control of same and carry out its functions as a harbour board in connection therewith. Mr Mackley quoted in detail the provisions of the agreement entered into between the board and the department for the control of the wharf, and specially referred to the clause relating to the charge for handling. He mentioned that costs had gone up, and the department finds that it is losing Is 3d per ton on all cargo handled, and in order to recoup itself the present charge of Is 3d would have to be doubled, making 2s 6d per ton. The department had delayed bringing this aspect before the board, but the position is becoming such that the gap will have to be bridged. If the board assumes control of the wharves in accordance with the agreement, then it would be necessary to increase the handling charge. Without committing the Minister, Mr Mackley expressed the opinion that the Minister would be agreeable to the board taking over at an agreed upon price, but he did not think that the leasing of the wharves would be a satisfactory proposition. In the past, when wharves have been sold to harbour boards, the department has always endeavoured to make the terms as easy as possible for the board concerned. The department has now reached a stage in connection with the Town Wharf when it feels that it would be better for the board to take over control of same. Mr Mackley was emphatic that unless the board took over the control of the Town Wharf the department would definitely increase its handling charge by Is 3d per ton. "A general discussion ensued, and Mr Rogers suggested to Mr Mackley that the department should submit its proposals in writing, setting out: (1) What property it would be preparedto sell to the board and the approximate price required for same. (2) The provision for access from Taupo

Quay to the wharf. (3) Whether the wharf would be classed as a railway siding and what the charge would be for transferring cargo from the wharf sheds to the railway undertaking. (4) The position regarding shunting charges, etc., and any other matters or costs incidental to or in connection with the operating of the wharves. “Mr Mackley promised to supply the information in due course, and thanked the board for having afforded him and his officers facilities to discuss the matter with it.

“The chairman conveyed to Mr Mackley the board’s appreciation of his coming to Wanganui to meet the board.”

Chairman’s Report. A report on the proposed transference was read by Mr W. J. Rogers, and was as follows: “Since the visit of Mr Mackley and his officers to Wanganui I have given careful thought to the question o£ the control of the Town Wharf. I think it was in the minds of members of the board when the board decided to approach the Minister with thf request that the control of the Town Wharf should be vested in the board, that the Minister would consider handing over of same without any payment being made therefor. However, from the remarks made by Mr Mackley it may be gathered that the department desires to be paid for the wharf shed in terms of Clause 11. of the agreement entered into between the Minister of Railways and the board, which reads as follows: ‘Should this agreement* not be renewed on or before the expiration thereof the board shall, if required by the Minister so to do, purchase the shipping shed in connection with the wharves at a price to be determined by two valuers, one to be appointed by the Minister and the other by the board, or if they are unable to agree, then at a price fixed by a third valuer to be appointed by the two valuers aforesaid before entering upon the valuation, or the Minister may at his option remove the said shed from the wharves.’ “Under the above clause it would appear that the Minister could, if he so desired, call upon the board to purchase the wharf; however, instead of following this course the department is apparently desirous of negotiating the matter with the board. “The taking over of the control of the Town Wharf is not only the mere purchase of the goods shed; there are many other matters to be considered in connection therewith. While the board built the wharves, it does not own the land on which they abut; this belongs to the Government and consequently, satisfactory arrangements would require to be made for access to the wharves from Taupo Quay. At the present time, when cargo is put into the wharf shed, it at once becomes under the control of the Railway Department and no question arises regarding the transference thereof from the shed to railway wagons. Were the board operating the shed, the position would be somewhat different, and here again it would be ; necessary to have some agreement with the department. There are many other matters to be considered in connection with the operating of the wharves, such as the use of railway engines for shunting purposes, and the liability for loss in connection with cargoes discharged direct into railway trucks for country consignees. I mention these matters to indicate that there are many points • requiring careful consideration by the board. “One disturbing factor connected

with Mr Mackley’s visit, is Mr MacJ.cley's intimation that it will be necessary for the department, unless the board assumes control of the wharves, to increase the handling charges payable under the agreement from Is 3d per ton to 2s 6d per ton, an increase of Is 3d per ton, or double the amount now received by the department. “This aspect of the position will cause members of this board very serious concern; it indicates to me jthat the board is approaching a position which must have a direct bearing upon its future policy. I think we all admit, and I believe in this we have behind us the bulk of public opinion in the City of Wanganui and

its surrounding districts, that a port is an absolute necessity for the commercial life of our city and district, and in this connection the threatened impost of an additional Is 3d per ton is not going to assist in the development of the district’s trade. In the ' circumstances, therefore, it behoves J us as a board to treat this matter .with the seriousness which it warrants and without going into detail, it. seems to me that there are several courses open to that board to follow, each of which will have to be examined before a decision can be reached, I ‘(1) Negotiate with the departi ment for the department to carry

on the management of the wharvef upon the payment of an agreed upon increase in the handling charge. ‘(2) Take over the control of the Town Wharves from the department in terms to be discussed. ‘(3) Concentrate the port’s activfc j ties at Castlecliff.’ ; “In the menatime, however, we can I only await the proposition to be subI mitted by Mr Mackley. There is ; nothing further to be done at this • juncture, and I move the adoption of • the report.”