CITY TRAMWAYS

Dominion, Volume 14, Issue 171, 15 April 1921, Page 6

CITY TRAMWAYS

MAYORAL REVIEW OF THE YEAR « A CREDIT OF £3231 BIG INCREASE IN WORKING EXPENSES With the tramway figures for the year 1920-21 before him, the Mayor (.Mr. J. P. Luke) yesterday gave a Dominion reporter a brief review of the position as at March 31. "The position at the year’s end,’’ said Mr. Luke, “is such, I think, that the community as a whole will appreciate. Notwithstanding the disabilities the City Council’lias had to contend with, the result may be viewed with general satisfaction, though not with any feeling of elation. The result of the year’s transactions leaves the tramways with a credit Balance of £3231, certainly not a large one, and one considerably less than that of last year, which was £16,439. But, when consideration is given to the considerable increases of expenditure under all heads, and notwithstanding the increases made in fares, it is a result which will compare favourably with any other tramway undertaking in Australasia. The total revenue shows an increase over that of last year of £70,603 ,but as against that the working expenses have increased by £79,890. That result is reflected in tho ratio of working expenses to revenue. Whereas in the year 1919-20 the ratio of working expenses to revenue was 75 per cent., in 1920-21 it rose to 83 per cent. This high cost of working expenses must give cause for anxiety to any authority concerned in such undertakings as our .tramways. The safe and normal ratio lies between GO and 70 per cent, nnd anything over 70 per conf, must be considered abnormal, yet that hns been the Experience of the council for some time past. Items of Increases. "Chief among the items that make up the large increase in working expenses are the following increases for the year: —Wages of motormen and conductors, £35,335; fuel, £17,4*99; salaries and wages of power-station staff, £4332; repairs to steam plant, £7727. The total increase in power-generating expenses alone amounted to £32,560. The revenue per car mile was 21.36 d., as compared with 26.58 d. last year; and the working expenses rose from 16.14 d. per car mile last year to 22.12 d. for the year just completed. Decrease in Passengers Carried. "A slight decrease in the number of carried is registered. In 1919-20 the number of persons carried was 37,346,634’, and in 1920-21 the number was 37.296,414, a decrease of 50,220. There is nothing to be concerned about in this. It really only represented half a day’s traffic and it had to be remembered tho weather last spring was particularly one might say abnormally—unpropitious. The number of car miles run was 25,830 miles in excess of the distance covered in 1919-20. That may be criticised. The drop in the number of passengers carried was due to a falling off inthe slack hours of the day, but it has to be remembered that even if some of the cars were taken out of the running for-an hour or two, tho men (motormen and conductors) would have to be paid for standing by all the same. Capital Expenditure. "The items chargeable to capital account during tho year included one of £752 to permanent way, and another of £2211 for building work at the powerhouse and Kilbirnie car shed. Another charge to capital was one of £10,265 for power plant added during the year. Part of that sum was the remaining charge for the new exhaust turbine, and part the cost of the Babcock-*Wilcox boiler installed at tho tramways power station quite recently. Payments for tools had amounted to £2097, and new cars made (and now running) had cost £19,722; whilst there was an amount of £1650 paid on account of the extension of the power supply system (underground mams and meters). Altogether with som'; smaller amounts not necessary to enumerate, this amounts (round figures onlyare quoted) to £36,697 (chargeable to capital). That expenditure had been provided by taking £7210 from the reserve fund (leaving that fund still £7.29 in credit) and by way gf overdraft from the bank, £29,487. The bank overdraft on March 31, 1920 (for tramways) was £9564, to - which had to be add ® d the £29,487 mentioned, and an additional sum (for new material) of £25,242, making'a total overdraft of £64,293. "Special expenditure amounting to <£3252 hail been incurred, but of that 'amount tho sum bf £1385 had been written off on account of preliminary expenses. That account had amounted in all to £34,000 (which included a sum paid bv tho council to the New Zealand Electrical Syndicate in connection with the removal of poles and wires to allow of the construction of the tramways and interest and cost of loans) and had been reduced to £13,000 by annual payments. Oar Milcage Dues. ,r ln connection with car mileage dues an amount of £G3OB in expenditure is accounted for by the fact that the whole of Karori’s commitments last year (19 21> and those of Miramar for the months of February and March this yeai, were included in the ordinary, running account (now that both of the boroughs mentioned were amalgamated with the taking everything into consideration, and with a regard to the easing of the burden of the community, we may be .satisfied at having come out on the right side of the ledger. A Tabulated Summary. The 'following is a tabulated and comparative report of the position as regards

Total working expenses .fiSSifiS'ZO £209,430

revenue 1920-21. ' 1919-20. £ .£ Passenger fares 333,772 258,492 Carriage of luggage on passenger cars Car mileage dues Advertising on cars 2,286 4.753 3,365 1,948 11,061 2,967 Carriage of goods (freight service) 1,089 1.4ft Miscellaneous 'receipts... 1,630 1,146

Total revenue .£347,695 .£277.087 The following table gives particulars of the increase in the working expenses:— 1920-21. £ .£ Traffic expenses .. 111.827 99,625 10,199 53,018 16.288 General expenses l-,a.w Repairs and maintenance 66.06?Power expenses 68,596