THE WATERWORKS COMPANY.

Evening Star, Issue 3418, 4 February 1874, Page 2

THE WATERWORKS COMPANY.

The following business was transacted at the annual meeting yesterday, in addition to that published by us in last night’s issue:— directors’ pees. Amotion, submitted by the directors,—“ That a fee of a guinea be given to each director for each meeting of directors that he attended during the year 1874”—was met by an amendment that the remuneration should remain at its present figure—los 6d for each meeting. This amendment being lost, a further one, —“That a lump sum of L2BO be handed over to the directors, to be divided amongst them”—was proposed, and also negatived, there voting nine for and ten against it. The original motion was then put and carried.

ESTABLISHMENT OP A RESERVE FUND. Archdeacon Edwards asked if there was any provision made for a reserve fund. The Chairman stated that no reserve fund had been created as yet. Personally, he was very glad the matter had been mentioned. He thought the company should have a reserve fund; but until the directors gave an expression of opinion on the subject, it would be scarcely right for the directors to keep back any money fairly due as dividends. If there was any ■ expression of opinion given on the subject, the directors would probably bear it in mind when making provision for the next dividend.

At a stage of the proceedings, the following motion, proposed by Archdeacon Edwards, was agreed to :—“ That the directors be recommended to take steps towards the creation of a reserve fund.” THE CITY CORPORATION AND THE COMPANY. Wilkinson said he saw there was a proposal for the erection of drinking fountains in different parts of the town. Had the Company agreed to supply the water gratis? The Chairman thought the best reply to that question would be to read the correspondence that had passed on the subject. The Secretary then read a letter from the Town Clerk, stating that the v Corporation de-

sired to inform the Company that they proposed to erect free baths, drinking fountains, Sc. i hey also requested the Company to state what quantity of water they would be able to contract for supplying, and at what rate. In answer to that communication, the following letter had been sent to the Corporation Office of the Dunedin Waterworks Company, Tnr nr Pril l? es street, January 26, 1874. J. M. Massey, Esq., Town Clerk, i bII V j am instructed by my directors to acknowledge receipt of your letter of the Gth inst., intimating that the Council has a proposition under consideration for the erection of free baths and washhouses within the City; also of urinals and dnnking fountains ; but conveying no definite xiuomation as to the description of baths and washhouses proposed to be erected, nor the quantity of water likely to be needed In answer to your question as to “ what quantity of water per diem, the year round, the Company will be able to contract to supply for these City pm poses, and at what rate ?” I am directed respeettu ly to state that these are considerations within the control solely of the Corporation, which will affect materially the reply of my directors, and on which, they feel it their duty to ascertain the views of the Corporation before answering. It is within the knowledge of the Council that mainly from the enormous consumption and waste which take place in this City (amounting to about 70 gallons per head per diem), the storage reserve of water during a season of drought is largely decreased. My directors have repeatedly, but, till recently, ineffectually, directed the attention of the Council to the waste of water in watering the streets. They also for some time engaged the services of the Inspector of Nuisances to check the waste, but from the fact that cases summoned before the Mayor s Court were almost always dismissed with a merely nominal fine, little good resulted from their endeavors. My directors desire to act most' liberally in regard to the supply of water for public purposes. But it will at once be apparent to the Council that their ability in this respect will be limited by the degree of support accorded to the Company by the Council both in checking waste, and in not interfering with future extensions of the works cf the Company. The water supply is at present amply sufficient for all the demands of the City and suburbs, bat with a rapidly increasing population, with large and largely increasing demands for water for machinery, and in the view of the very large supply which would be needed for all the purposes named by the Corporation, it might be expedient to add to the storage of water. It has been asserted that the Council would oppose the Company obtaining power to raise further, capital, or to increase the supply of water in any way. Should such be the intention of the Council, it is plain that the company will be forced to supply water for public purposes only by meter, and to charge the City the very highest amount they are legally entitled to in order to check waste as much as possible. But should the Council see their way to give the Company an assurance that they will not oppose the Company obtaining further powers of raising capital for the purpose of increasing the reserve supply of water, my directors have little doubt but that ultimately they will be in a position to supply water for public purposes to an almost unlimited extent, and at a comparativelynominal cost to the City. However, as an earnest of what the Company propose doing, my directors will at once give whatever water is required for drinking fountains tree, subject to proper, taps and valves bein" used to prevent waste.—l am, &c,, “ Thomas Dick, Secretary.”

STORAGE OF WATER. j Shareholder asked if the directors in* tended to extend the storage of water? Ihe Chairman replied that an extension was not required at present, as the reservoir was lulh At the same time the directors had been making arrangements for the purchase of land suitable for the additional storage of water. He might state that the Company had now secured the means of very largely adding to the reserved supply of water. He did not think it would be in their interests to say exactly what had been done; but he might say that steps had been taken which, in his opinion, added largely to the value of the Company’s property in regard to the future extension of the supply of water. He might state, for the information of shareholders, that that was one thing which loomed largely in his view at last meeting, and induced him to influence the shareholders as much as he could not to absolutely refuse to sell to the Corporation. On that occasion he was led to make some remarks with respect to the future prospects of the Company, and an attempt had been made to make use of those remarks to the detriment of the Company. Here was one matter that was remedied in a great measure, and remedied at much less cost, and much easier than he feared it could have been done. He had no doubt that if they left the matter in the hands of the directors, they would give a good account of it in the long run. He thought it would meet the views of the shareholders if they dealt liberally with the City.—(Hear, hear.) A Shareholder : And reduce the charge as soon as you can.

The Chairman ; Yes ; and try to avoid waste. The waste at present is really enormous. It is 20 gallons per head more than in any town of Great Britain.

REDUCTION OP THE RATE. A Shareholder asked if any steps had been taken to lower the rates upon the citizens ? ihe Chairman said that no steps had been taken in the matter yet. Of course, if the shareholders wished to have their dividends reduced, the directors were willing-to take steps. He had already expressed his opinion that it would u ™ e politic thing that the Company should not go over 12 per cent, at any rate.