ELECTRICITY CHARGES

Press, Volume LIX, Issue 17820, 20 July 1923, Page 14

ELECTRICITY CHARGES

The Under-Secretary for Public Works liaa supplied us with the following statement concerning charges for electricity:— The facts are that the Government has fixed in the meantime n rate for the sale of power which it considerod equitable. This Tatd, so far as thfl Coleridge installation is concerned, has not yet resulted in a scheme being financially successful, but this waa anticipated in the early stages, and it is considered that eventually _tiie early losses will be paid off. W nen this stage is arrived at, tlie price will again be, reviewed and ' brought down to as low a figure as possible. in connexion witJi North Island schemes, so, far the rate now being charged has' resulted in a small ioss, which, however, is being rapidly overcome. When tho North Island schemes are further advanced, it is anticipated that the earlier loss will also be paid off, piubably at an earlier date-tbau wul be the case in connexion with th« Coleridge installation, and here, again, the opportunity will be taken to reduce the. rates so far as, can be .commercially justified. In Clause 13 of the ft ate Supply of Electrical Energy Act, 1917, the balance of profits from any one scheme may be used to assist in liquidating the losses incurred in the course of working any completed scheme, but the Government does not expect any losses in connexion with any completed scheme, and in any case no transfer could be made from a successful scheme until a reserve was accumulated after every provision has been made, and as set out above, the Government's policy will be, in connexion with every scheme, to sell at the lowest price which th<» speciai features of that scheme permit. Christchurch really has nothing £3 fear from a flat in fact, probably would have a considerable amount to gain.