POWER BOARD YEAR

Wanganui Chronicle, Volume 86, Issue 111, 15 May 1942, Page 4

POWER BOARD YEAR

DECUI 1E IN REVENUE DETAILS OF EXPENDITURE Of each £1 collected by the Wanganui - ILnigitikei Power Board for sales of electricity during the J9ll-42 financial year. 8s 5d was absorbed in the purcsiase of electricity, 8s Id being paid to the Government and 4d on generating the auxiliary supply at the board’s own power station. Another 5s was required to meet loan money. Onk'y 6s 7d in every £1 remained for maintenance, administration, and strengthening of reserves. These statistics were disclosed by the chairman, Mr. F. Purnell (Marton), in his annual report to the board, adopted at the meeting yesterday. Referring to the difficulties caused by the war. he added that the board had to regard the maintenance of its existing asset as the main function. Extensions of business, where line construction was necessary, could be undertaken only where the service could be classed as of national importance under war conditions. Total revenue from all sources was £145.487—0n1y £1634 below last year's receipts. Though problems still had to be faced the board’s service to the people had been maintained at. its accepted high standard Mr. Purnell added. The board’s finances had not been affected so adverse!} as was feared when the position was considered 12 months ago and the estimates prepared. Revenue received from various items last year, with the amounts estimated in parentheses, was: Ordinary consumers, £132,481 (£127.000); street, lighting. £3BlO (£4000); trams. £2652 <£2600); bulk supply, £3062 (£1400); interest and sundries. £3482 (£1809); total. £145.487 (£136.800). Two factors had caused a decline in revenue. The reduction in outdoor lighting, particularly in the business area, and the introduction of da\ light saving for the full year, instead ol during the summer only, had meant less consumption of electricity. The result was a loss of revenue I a the board, and a corresponding saving to consumers, the chairman slated. Expenditure last year, with the estimated amounts in parentheses, was: Bulk power. £58,062 (£60.000); capital charges, £35.725 (£3(,000>; distribui ton "and maintenance, £15.6 D 00): administration and genera’. £12.988 (£13.000); actual expenditure on renewals and depreciation items. £5895 (nil); surplus for denreciation. new work. etc.. £17,151 ,£8800); total. £145,487 (£136.800). It would be noted, Ihe chairman slated, that all expenditure had been kept within the estimates. The cost of bulk power, which had been increasing ranidly in recent years, was lower by £505. This was due mainl} to the commercial load being lessened bv reduced lighting. '“With all the difficulties of the present times it was expected Ihat.lhe trading department would show a considerable decrease in turnover, hut total sales were £17.808. only £2400 below last voar’s total,” the chairman added. “This may give some glimpse of the business that could, and no doubt will be done, when we have overcome the immediate problems of power restrictions, lack of supplies, disorganisation of our market, and ether things incidental to the war effort. “Last year 1 mentioned in my repott that in consequence of the position in which the Government found itself, a system of limiting the loads of supph authorities had been introduced. The board’s allocation was 4 per rciH. above the supply, on a unit basis, taken for the previous year, this 4 per cent, being reduced to 3 per cent, for the two summer quarters. Fortunately. or nerhaps unfortunately, it was possible to keen within these limits, duo in verv large measure Io the enforcement of the lighting restrictions and also to a verv careful control over certain other services. Advice has recent I}' been received that this year limit of increase permitted the noarc. is 2’ Per cent, over last years demands.” __