HYDRO-ELECTRICITY

Hawke's Bay Tribune, Volume XVII, 25 November 1927, Page 8

HYDRO-ELECTRICITY

POWERS OF BOARDS GRADUATED SCALE OF RATES. . CLAIMS FOR DAMAGES. Wellington, November 24. The Minister of Public Works moved the second reading gof the Electric Power Boards’ Amendment Bill in the House to-night. The Minister said all the clauses except three had been approved bv the executive of the Power Boards’ Association, and the others had been proposed since the executive last mtt. Boards are to be given power to alter or add to their outer areas in the same manner as they may alter their rateable district. The exiting law with regard to the disqualification of members of boards is to be eased so as to bring boards on practically the same footing as county councils. An important clause, so far as the rating power of boards are concerned, is designed to enable boards to lew rates upon a graduated scale according to the degree of benefit which *t considers the various parts of their districts have received as a result of their operations. Provision is made 'n the bill to give ratepayers amnio warning of proposals and for tho lodging of appeals. The right which boards now enjoy of levying what is known as an availability rate on nroperties within ten chains of the boundaries of mains is to be taken away in cases where persons have provided themselves, with a supply of electric power from a private source. Hitherto such persons, although liable for the rate, had been entitled to take out the money paid in power. SINKING FUNDS FOR LOANS. The position of smaller hoards who find it difficult to comply with the requirements of the Local Boadies’ Loans Board to provide sinking funds for their losses is met by a clause which provides, under certain conditions to be approved, that the establishment of a sinking fund on special loans may be suspended tor a period not exceedin’- seven ’-ears. The consent of the Local Bodies' Loans Board to the suspension of the sinking fund will have to be obtained in all cases. Landowners whose properties are by power lines are considered in another clause, which provides that damages inav be claimed against the boards for damage done to any of their property and not merely to their land, as is now the case. The Minister stated that if the bill passed, this provision would be retrospective to Januarv 1 last. Other clauses in the bill suggest that power boards may establish fire and accident insurance funds. Boards are also to be compelled to create depreciation funds in respect of their undertaking, and authority is also to be given to establish reserve funds from revenue. The reserve fund is to be used for such extensions and permanent improvements as the board may think fit. QUESTIONS RAISED. Mr E. J. Howard (Christchurch South) raised the question of, how the citv of Christchurch would'fare under the bill. In bis opinion a power board in an “outer area" could "rope in” the city, which they would be very glad to do. The Prime Minister said he was of opinion that the “license” held by the City of Christchurch would orevent it being “roped in” by an outer board. Mr Howard said that if that were so, well and good, but it was bis duty to protect the city, and he was going to do so. Sir Joseph Ward (Invercargill) raised several questions of local interest to the Southland Power Board, which the Minister promised to look into. Local aspects of the bill were discussed by Messrs E. P. Lee (Oamaru). H. G. R. Mason (Eden), J. A. Nash (Palmerston), E. A. Ransom (Pahiatua), A. Hamilton (Wallace). H. L. Tapley (Dunedin North). Sir John Luke (Wellington North), and D. G. Sullivan (Avon). Tlie Attorney-General, in reply to ths last speaker, said that under the definition of “outer area.” under the Act of 1925. the citv of Christchurcu could not possibly he absorbed by any power board in the outer area. The Minister of Public Works, in reply, confirmed this view, but agreed to have the clause further looked into. The bill was read the second time The bill was later put through committee, read the third time and passed.