POWER BOARD'S PROFIT

Hawke's Bay Herald-Tribune, Issue 100, 14 May 1937, Page 3

POWER BOARD'S PROFIT

Our Own Correspondent)

Central H.B. Body's Finances

(From

WAIPUKURAU, This Day. A profit of £1923 3/9 has beeu made by the Central Hawke's Bay Electric Power Board during the year ended March 31, 1937. In view of the fact that the board has made substantial reductions in charges to consumers, the financial position is considered to be eminently satisfactory, and at the board's annual meeting in Waipukurau this morning members voioedl their approval of the exeellent termination to a good year's work. The total value of reductions made to consumers now exceeds £15,000. The board's activities during the past year were reviewed by the chairman, Mr A. O. Russell, in his annual report adopted this% morning. "Proposals will be placed before members .to-day of handing back a great part of last year's profits, which, if adopted, will further assist consumers," he said. "In these days of rising costs, electricity is almost Vhe only every-day necessity of life that has not gone up iu price, but on the contrary shows a reduction." All phasea of the board's activities wera the. subject of comment by Mr Russell, who tabulated his remarks as under : — Units purchased during the year totalledi 5,096,101, as against 4,729,791 in the previous year. This is an increase of 1.07 per cent. ltevenue from energy saies increased by £547 19/1. Cost of energy purchased by the board from the Publie Works Department, increased by £252. Other items increased as follow: — Units purchased, 366,310; consumers, 119; hot water services, 55; shearing plants, 8; 1 milking plants, 9 ; ranges 39 ; m'otors, 29. Bad debts continue to be low, heing .073 p.c. of saies. For each £1000 worth of business, the loss was 6/1. Tho installation of condensers, together with close attention to the hot water ,.clocks, has kept maximum demand within a reasonable figure. With 119 more consumers on than in the previous year, costs only rose 3.3 per cent, as compared with 3.6 per cent for the previous year. Up to March 31, the board had spent £151,419 12/6 in reticulating its very large firea which contains 1300 square miles of territory. Steady progress is being made in the extension of energy to the further-back settleTS. Since last annual meeting, legislation has been passed, which provides for moneys being raised for reticulation purposfes with out the necessity of a poll. Further Extensions During the year there has been much activity in the area. Approximately 30 miles' of further extensions aro to be commenced during the next week qT so. The board's iines now extend from practically the Ruahines to tbe sea and from the north of Te Aute to tbe Manawatu river at Kopua. The board in the latter part of the year instituted the supplying of ranges on more easy terms, and the develooment from this class of load promises to be valuable, whilst tbe easy terms on which the board is prepared to insta! these for consumers makes the installations within the means of all. The board, during the year,- continued its policy "of co-operation with the P.and T. Department in regard to the elimination of radio trouble, and the results continue to be very satisfactory. The radio inspeCtor, Hr Hannah, has closely co-operated with us in the matter, to the mutual benaiit of all. During the year, the board aeclded upon the use of concrete poles in lieu of Hardwood poles. These poles will be utilised on the new extensions sliortly to be erected. The board has some 16,000 wooden poles in use, and as these require replacing, no doubt the concrete poles will be used. With the modern reinforcing method in voguc, these concrete poles should prove a good investment. In my opinion the concrete poles will be much more lasting, whilst in addition we are keeping in our own area much money that would otherwiee go to Australia, and anding employment for a number of men. The steady growth of the board's business," said Mr Russell in conclusion, "coincident with the reduction in price of energy to consumers, makes the position of the board appear bright. Much has been accomplished during the past few years and it would appear that ihe policy of the board will result in a continuation of decreased charges being possible. I consider that we can iOok to the future with confidence so far as the board and its cousumers are coucerned. "I desire to express to members my sincere appreciation of the couscientious manner in which they have attended to their duties during the year. This has, to a great degree, been the cause af the success of the board's operations. [ would also Iike to express my deep thanks to the various committees and also to the deputy chairman, Mr W. 11. Rathbone, who has given considerable time to thc affairs of the board. Mr W. A. Chambers lias also dope foeman service at tlie concrete 'works, or which I feel greatlv. indebted. To :he newspajjer representatives, I beg to ?ay a. tribute to their fairness on all )ccas;ons. Tbe staff has satisfactarily ?arried out its duties during tlie nast fear."