THE COAL SUBSIDY.

Hokitika Guardian, 7 August 1925, Page 3

THE COAL SUBSIDY.

[Australia & N.Z. Cablo Association.]

EXPLANATORY M EMORANDUM. LONDON, Aug. ;3. The Government to-morrow will ask the House of Commons to authorise a coal subsidy of ten millions sterling, covering the period from now to March 31st. next.

An explanatory memorandum of the terms of tbe coal settlement lias been published, ft. says:—“The inquiry into the industry should be completed in good time before May 1926, while the Government’s assistance will enable more (dts to work, and more men to be employed than if the 192-1 agreement continued without. assistance, and it will enable tile industry to work at the same costs, prices and scale as if the coal owners’ proposals had been carried out. It provides no guarantee that the pits already closed will he re-opened. Better trade will automatically diminish the amount of tbe sulsvolition, while a worsening of trade will mean that the subvention, though it will be a higher rate, will lie protected from an indefinite increase by being restricted to a smaller number of pits, resulting in the closing down of unremunerative pits.” The coal memorandum states the Governme.ut have satisfied themselves that they are adequately safeguarded against the possibility of the amount of the subvention living improperly increased by any undue lowering of prices, or by ( barging against the Exchequer any expenditure upon equipment, development, etc., which could not properly he chargeable to the revenue costs.

The memorandum concludes: “After surveying the whole position', and with all reserves for incalculable factors, the Government have decided to ask Parliament at present to vote ten millions. If this is insufficient, furl her authority will be sought, from Parliament.” LONDON, Aug. fi. ll is reunited that a travelling coinmission, largely composed of experts, will be the most likely form of the coal commission. They are expected to tour the coalfields, ami to investigate the trouble on the spot, including the inspection of the bonks, the condition of the machinery, tbe production of each colliery. The sales, the organisation and the distribution will also he considered, especially the difference ls--tweeu the |>it bead prices and the charge made to consumers. The While Paper on the coal position lias caused much criticism in the lobby, especially the intention to pnv the same subside to (lie profitable collieries. This is condemned as being most pernicious, owing to the adoption of the principle of payment by distliets.

I) is understood that Sir Robert Horne, during Thursday’s debate, will attack the Government’s policy from the standpoint of the business community.

The" Soul It Wales and Monmouth coal owners met at Cord ill. They resolved to accept the draft arrangement with the Government, but they emphatically protested against the manner ill which the Government bad settled the dispute, contending that it is not in the lies! interest of the cold trade, or the country as a whole. The Smith Wales, coal owners are now considering the re-opening of pits, some of which were closed a year ago. Mr Cook (Miners’ Federation Secretary) ill an interview with the “Daily Herald.” emphasised that the Miners’ Kcdern 1 ion had nothing to do with, the terms contained in lhe White Paper. lie declared that lhe owners had driven a bargain with the Government that was out of all proportion to what thev were entitled to. U was apparently possible that collieries that were making two. three and even hull shillings per ton of a profit would participate in tile subsidyGrave rioting lias occurred at Ammanford. Five hundred strikers raided a pit v. ith the object of fetching out two workers ill it. Police dehmiled the eollierv. They were attacked with sticks and stones. There were many casualties on both sides, including a Depute Chid' C'oiistahl". and an inspector who were severely injured. The manager's bouse was damaged. A strong contingent ol Glnnioiig.m and Carmarthen police restored order.