HUTT GAS DISPUTE

Dominion, Volume 12, Issue 297, 11 September 1919, Page 6

HUTT GAS DISPUTE

STATEMENT BY MAYOR OF PETONE Sneaking in reference to tho publishedletter of the Hutt borough to the Board of Trade, the Mayor of Petono (Mr. J. W. M'Ewan) 6tated that it was positively- ridiculous to lonvo ou\of tho "costing'.' of any commodity items such \as denreciation. of plant, salaries, bank interest, and the minor items sucli as stationery, etc. Any manufacturer actin« thus in his costings was heading tor tlio Bankruptcy Court. If, as was proposed, tho Hutt erected its own gasworks, these charge.? nsrainst tlio cost of manufacture must' l)e mot, with the added disadvantage of a much smaller output to spread them over. There was a tinio in tlio history of the Petono works when the cost of producing gna (with coal at lowest prices) was quite ns high as at present. ■ i. Tho Hutt Council. Mr. M'Ewan added, denies that it is responsible for somo outlay in providing plant.. Tile followins extracts from the existing, agreement between, the two counoils provide a complete answer: (1) 'The Petone Council shall install within, six months a booster ulant in duplicate for the purpose of giviii2 such extra pressure as is required to enable the Hutt Borough Council to install a svstem of automatio lighten} tor street lamps, and to provide the extra, pressure hereinafter agreed upon during tho hours of maximum consumption. This nlant was provided by Petone, .and is now lying idle. The Hutfs automatic lighting scheme failed. ' Clause fivo (5) fays: "Petone Borough Council shall instnl u new gas-holder (oaoacit-T 100.000 ' cubis feet) purifiers, retorts (which meant an addition to tho retort house in brick), now main _ governor and fittings, in crder to maintain the suoplv of gas to tho Hutt Borough Council. The now plant to be installed within three years. The whole of this plant was duly installed and now tho Hutt eays it ought not to be called upon to pay its share-two-fifths of tho depreciation and interest charges.