THE COAL PROBLEM

Dominion, Volume 13, Issue 212, 2 June 1920, Page 8

THE COAL PROBLEM

DECLINE IN PRODUCTION REVIEW BY PRIME MINISTER MEETING A CRITICAL POSITION The Prime Minister, who is Minister in Chnrge of the Coal Trade Regulations, has furnished the following interesting review of the coal situation in view of the keen public interest centring. round this important matter at tho present time ;— Although at frequent intervals statistics illustrating the serious decline in the production of coal in tho Dominion have been published, it is advisable, at the present juncture, in order to clear up any misapprehension that may exist, to again direct the attention of the public to the actual figures so that tnn difficulties being experienced may be readily appreciated. To do this' it is necessary to go back to the year 191-1, when conditions were normal "so far as the production and importation of coal were concerned.

OUTPUTS AND IMPORTATIONS. Outputs. ImporN.Z tations. Tola!. Year, mines-tons tons. tons. Dec. 1914 ... 2,275,593 518,070 2,793,663 - 1915 ... 2.208,624 353,471 2,562,095 231,568 1916 ... 2.257.135 293,956 2.551,091 11,004 1917 ... 2,066,419 291.597 2.360.016 191,075 1918 ... 2,034,250 255,352 2,289,582 70,434 1919 ... 1,847,848 455,494 ' 2,303,342 13.760 Net decrease , i. .-.'490,321 It will thus be seen that taking the combined outputs and importations for the above period—taking cacll .year separately—thero has been a net loss to the Dominion, up to December 31, 1919, of no less than 490,321 tons. The most serious aspect, however, in the steady decline in the production of bituminous and semi-bituminous coal in the New Zealand mines, on which the Dominion largely depends for carrying .on its shipping, freezing, gasworks, public services, _ and other essential industries for which this class of coal is alone suitable. The following tabulated statement affords a striking illustration of tho serious position the Dominion has drifted into in consequence of the falling off of hard coal:— OUTPUTS NEW ZEALAND BITUMINOUS AND SEMI-BIUMISOUB Tear, Tons. ' Decrease. Increase. 1914 1,494.315 - - 1915 1,404,400 69,915 - 1916 1,422.047 - 17,647 1917 1,247.989 174.053 - 1918 .'..,.. 1,122.308 125,681 1919 961,107 161,201 Net decrease 533,208

To the abovo net loss of 53.008 tons in hard coal produced by the New Zealand collieries, there mii9t bo ■ added C2.57G tons, which represents the net decrease in' the quantity of hard coal imported during the same period, making a total shortage of this class of coal from the year 1914 to the end of 1919 of 505,784 tons, which Is more than equal to half the quantity of hard coal mined in New Zealand for the year 1919.

. With a loss of over half a -million tons in five yenrs, and having regard to the increased consumption of our railways, shipping and principal industries and other public, services, it will be readily understood the enormous difficulties experienced in allocating supplies (n order to avoid nw curtailment or stoppage in the activities indicated, at the same time-provide, as far as possible, for the reasonable requirements of householders. In this latter connection, however, experience has shown that coal allocated to gas and power works results in a larger number of households being given facilities for cooking land! heating purVwses, than would be the case if nn equivalent m antity of coal were allocated direct to householders through tho usual channels. In. the case of gasworks, one. ton of coal carbonised returns not only its quota of gas, but also 40 per. cent, of

coke, which in turn can bo used for domestic purposes and for generating power. It might be as well, at this stage, to indicate the approximate annual consumption of some of our main services and industries which are as follow:— Tons. ■ Hallways 300,000 ' • Gns works : 250,000 Freezing works 150,000 Shipping 500.000 Electric light and power 80,000 Total 1,280,000 ' which exceeds tho production of hard coal in the Dominion for tho year 191!) bv 318,893 tons.. This will clpnrly indicatn that had it not bpen for the special efforts made by the Government to increase importations a national crisis would have been inevitable, as taking the year "1919 as compared with the previous'year, importations were increased from "255,332 tons to 455.491 tons—an increase of 200.1G2 tons —or to put the matter another way; if the importations for 1919 had been on a parity with the previous year we would not have had sufficient hard coal to have met the demands of the Ave main industries and services enumerated above.

Unfortunately tho figures for the four months of the current year (January 1 to April 30), in comparison with the same period of last year, disclose a further decrease in the outputs of bituminous and semi-bituminous coals from the principal New Zealand mines of 57.000 tons, but fortunately importations during the same period were increased by 45.000 tons, leaving a net decrease to April 30 last of approximately 9000 tons. It will be remembered, however, that the "go-slow" policy -which was inaugurated in September last, was only terminated at, tho end of February last, and the decrease recorded in New Zealand mines up to April 30 is -largely accounted for by this factor.

It is satisfactory to note, however, that since the termination of the "go-slow" policy movement there has been a considerable improvement in the production of coal in tho' West Coast and other mines of the Dominion; while it is very gratifying to record an improvement in recent months, It is regrettable that other factors have considerably more than counterbalanced such increases. For example; Shipping tonnage has. had to be provided to lift the Dominion's mirchnse of wheat, which at the present time is utilising shipping to the extent of 12.000 tons per month that had to be provided from tonnage usually engaged in the carriage of Newcastle coal. In addition to this, Admiralty requirements for Westport coal have tn be met to the extent of approximately 5000 tons per month, and requisitions in hand for bunkerine supplies for overseas steamers allotted New Zealand for tho carriage of frozen produce amount to close on 12.090 tons of coal for the month of .Tune, and other steamers will, in addition, have to be provided for on arrival in New Zealand waters.

If is trusted that the shipping arrangements made will result in the whole, of the whoat purchased by New Zealnnd being lifted by tho end of June, whpn tho tonnage thus released will be available for tho carriage of coal from Newcastle.

Owing to tho steady decline in tho jwoduetion of hard coals and frequent stoppages in the source o£ supply, industries generally have been unable to build up .reserve stocks, consequently they nrf entirely dependent on regular weekly shipments to enable tlumto carry on operations. In this connection. the geographical position of tho AVest Coast mines is n very important factor, inasmuch as all coal produced has to be transported liv sen; 'so that any .delays to shipping duo to bars being unworkable, bad weather at discharge ports or other causes affecting tho movements of steamers, result in industries and other service? being placed in a Mrious position for supplies, and at this lime of the year such delays have to lie contended with almost, weekly, Under mcli conditions it will 'bo readily Appreciated how difficult n matter it is to provide regular and adequate allocations to meet tho immediate requirements of tho various users of coal. A caroful eoratiny of tho figurou will

clearly indicates to tho public the impossibility, at the present time, of increasing the allocation of coal for household purposes without seriously interfering with the operations of important industrial concerns and public services on which the prosperity and progress of the Dominion so largely depend. It should bo' realised that the shortage of coal is universal throughout tho Dominion, and i 6 not confined to any particular locality, and if tho insistent demands of somo districts now being made wero acceded to, it could only bo (lone by withdrawing supplies from others where' the shortage is just as acute. Tho position is being very carefully wntehed by tho Coal Control Department and the Coal Trade Committees in the four centres are doing their utmost to distribute all coal arriving to their respective districts so as to avoid, as far as possible, any undue hardship to tho Special arrangements have been made to provido a full shipment of household coal for distribution throughout tho Wellington province, more particularly to enable small reserves to he formed m Wellington and other towns in the area controlled by tho Wellington Coal Trade Committee to meet urgent cases of sickness and othor pressing emergencies, lho steamer fixed for this purposo is he s.s. ICaiapoi (2500 tons), which is duo to load at the West Coast ports this week. In conclusion, Mr. Mnssey stated that he felt sure that now the public were fully acquainted with the critical position the Dominion has been placed in with regard to coal supplies owing to reasons well known to everyone, they will more readily accept-as they hare daw in tho past-the unavoidable restrictions which have had to he imposed on the delivery of coal for domestic use realising that the steps taken are yx the best interests of all concerned. '

MASTERTON SHORT OF COAL

GASWORKS SUPPLY ALMOST EXHAUSTED.

By Telegraph—Saocial Correspondent. Masterton, Juno 1, For many months the Masterton borough gasworks have been faced with an almost continuous shortage of coal. It was always with, difficulty that any sort of supply was obtained, and when tho coal did come to hand it was only'in verv small quantities. At tc-nights meeting of the Borough Council the gas manager reported;-"Owing to the prolonged rough weather, gales, etc., the running and working of the. coal steamers has been so much interfered with that at present tliero is only sufficient coal in slock to carry on until Friday or Saturday next. Tho s.s. Komatn is, however, due in to-night or 10-monw. In the meantime I hav.o urgently wired asking that coal from some other source be forwarded to keep the works going." It was suggested that the corporations concerned _ should lie asked to arrange a conference in Wellin"ton with a view to arranging for a rennblo supply of coal for gas-making. On the motion of Councillor Atkinson, seconded' bv Councillor King, the suggestion was niade the subject of a motion. Councillor Perry asked if Mr. Blackman had ever interviewed tho Coal ConMr. Bloekmnn replied that he had seen that "cntlomnn, who had been most considornV Ho had always been pushing for adequate supplies, but could make no impression. They were told there was plenty of coal, but they could not get any. The whole trouble seemed to originate with the shipping companies, who would not come to a satisfactory nrranpement regarding transport. Surely it might bo possiblo to raise sufficient funds among the local bodies concerned to purchase n coal-carrying vessel. That method of transporting coal had been adopted with success by English gas companies. , . Councillor M'Lcod: It is deplorable that the Government's hand has to be forced. Thin is a long-standing complaint with gasworks, and should have been remedied long ago The notion was carried.