MR VAILE ON RAILWAY MANAGEMENT.
We have recently, on several occasions, referred lo Mr Vaile's proposals with reference to an entirely new system of railway management, and have expressed the wish that it could be tried on a sufficiently extended scale to demonstrate conclusively as to whether that system is adapted to the conditions of New Zealand, and whether it would produce the results which Mr Vaile is so sanguine would be experienced. That system has been tried on the short length of railway m the Auckland Provincial district, known as the Whangarei-Kamo, and is still m operation there, and the results so far certainly go to bear x>ut Mr Vaile's contentions. Contrasting these with thoseof the Government lines worked upon the old system, Mr "Vaile writing under date sth October, says : — " For some time past the railway systems of Taranaki, Wanganui, Nelson, and Picton have all been worked at a loss. That is to say not only have they not contributed one penny of interest on the £1,810,000 they have cost the colony, but m addition a sum of £519 has had to be expended daring the laßt twelve weeks m order to keep them open. Together they measure 256 miles, and this is how they have been working for the period mentioned : —
Passengers, deor (fares 14,083 or 19-5 pr ot. Tonnage, decrease (tons) 1,600 or 8-2 Gross revenue, decrease £2,377 or £12 12 „
Net revenue, none whatever, but a dead loss of £519.
Taking the whole railways of the colony for the twenty weeks reported of the current financial year, and with the exception of calves (! 1), chaff (I), and grain, every department of traffic exhibit's a serious falling off. Passenger traffic has decreased by 206,619, fares and revenue by £21,298, the Treasurer's estimate being that we should obtain an increase of £45,000 during the year.
The little Whangarei-Kamo line comes out m violent contrast to the above. Daring the same period of twelve weeks this is what has been done)there: —
Passengers, incr . . 972 farsß, or 47*1 °/ 0 Merchandise, inor . . 395 tons, or 54*0 °/ o Minerals, increase .. 1375 tons, or 50-8 °/ o Total tonnage, inor . . 1777 tons, or 51-3 °/ 0 Gross revenue, inor £229 6 9.. £44 14 '/ o Expenditure, deer £172 9 2.. £2T 18 % Net revenue, inor £275 5 8
which added to the amount saved m expenditure means that the colony gained £448 from this seven miles of railway while on the 256 miles mentioned above, it absolutely lost £519 m addition to the whole of the interest on the outlay.
It will be seen that at Whangarei every item of traffic has very largely increased, while expenditure has greatly decreased. There is nothing exceptional m the district to account for this. On the contrary, perhaps, hardly any district has suffered so much from the prevailing depression. The railway starts from the port — a minor one — passes through a town of not more than from 400 to 500 inhabitants, and ends at a small coal mine. There is clearly nothing here to account for the surprising results given above. The improvement can only be due to better admistration.
On the other hand we have the Wan ganui system, starting from Wellington, passing through Foxton, Palmerston North, t»andon, Halcombe, Marton, Wanganui, Hawera, Inglewood, and terminating m New Plymouth. From Wellington to Lognburn the line belongs to the Manawatu Railway Company, hut the connection, with, this line of uunra© ought greatly to help the 215 miles of Government line ; yet with all these great advantages, . under the present system it cannot be made to pay working expenses.
The fact is as clear as daylight that 256 miles of railway running through populous districts, but worked on the Government plan, have lost m revenue £12 12s per cent, while seven miles, having no large centre to run from, but worked on my plan, have gained £44 14s per cent.
If facts and figures like these will not convince the Government and the public, then it appears to me that nothing will. In increase of revenue and decrease of expenditure, the Whangarei line now earns one hundred and seventy-two pounds and twelve shillings, where it formerly earned one hundred pounds. The bare thought of our altered position, if such results were obtained from the whole of our lines, is enough to take one's breath away. I emphatically repeat my assertion that it can and ought to be done, and I can also point to the fact that my statements as to what our railways could and would do for us have so far proved correct"
We reprint Mr Vaile's letter (of which he has kindly forwarded us a copy) m extenso because the subject, "is one of the most vital importance, and because the facts and figures given by that gentleman, if unchallengeable, as we presume they are, certainly go a long way towards proving his case. The only point upon which we are m doubt is whether there may not be local conditions and circumstances m connection with the Whangarei — Kamo line which are peculiar to the locality, and which not obtaining m respect to other lines would render Mr Vaile's system a success m the one case whereas on a more extended field it might prove a failure. But, failing any such differentiating conditions, it must follow that if the system be a success on a small scale, it would be a greater success on a larger scale, and it is certainly desirable to set the question at rest by a more extended experiment. This, indeed, \% appears could be done without incurring any possibility of loss to the colony, for if we are correctly informed a number of Auckland gentlemen have offered to make the experiment at their own risk,
that is to say, if we recollect rightly, theyoffer to lease the whola of the Auckland lines for the purpose of running them on the Vaile system, undertaking
to pay to the Government the same amount that the lines are now returning above working expenses, and not to raise either the rate of passenger fares or
the rate of freight. Given that these gentlemen are able to enter into satisfactory guarantees for the due performance of the conditions of the proposed contract, it appears to us that the bargain would be an advantageous one for the colony, which would, if the system prove a success, have been taught how to work its railways profitably without paying for the experience, while if it proved a failure the question of the feasibility or otherwise of the Vaile system would have been finally set at rest at the cost of Mr Vaile's supporters.
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Ashburton Guardian, Volume VII, Issue 1973, 18 October 1888, Page 3
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1,320MR VAILE ON RAILWAY MANAGEMENT. Ashburton Guardian, Volume VII, Issue 1973, 18 October 1888, Page 3
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