EVIDENCE IN SUPPORT

Hokitika Guardian, 28 August 1929, Page 6

EVIDENCE IN SUPPORT

(Christchurch Times.) There was a general impression that the late Reform Government was precipitate in making important decisions. It lived from day to day and from week to week in'the attitude of Mr Micawber, hoping that something would turn up. The sudden decision with regard to the Taupo railway strengthened the impression, for it ran counter to the avowed policy iof first obtaining, from 'the IDopart'merjts (affected reports as to the prospects of the undertaking. Instead, the country was told that the findings of commissions had proved of assistance in reaching a decision, although it was known that at least one commission had stated plainly that the line could not pay its way.

And evidence in support of this impression is afforded by the statement made by Mr Coates during, the debate last week. A northern journal, recording his defence of the Kirikopuni line, constructed at a cost of about £BO,OOO per mile, reports the leader of the Opposition as saying:; “It was impossible to estimate what any railway in New Zealand would cost.” If that is so—and we do not admit it for a moment—then it fellows that the Reform Government, not knowing what the enterprise would cost the country, authorised the construction of a railway line from Potorua to Taupo. Without an estimate, carefully compiled, how oould the Ministry have come to even • an approximately correct idea of what the financial returns would he? Surely the capital cost governs the whole matter, yet here is the late Prime Minister saying that it is notpossible to estimate what works of this character will cost the country. It would he impossible to conduct an efficient administration, or a private business, on those lines.- 1 and the statement makes it harder, still to understand wliy this railway .was ever started.

Speaking during the debate on the Address-in-Reply, Mr Coates said that the timber to be carried over the first twenty-five miles of the line would make it pay, but it is a little difficult to see how he arrived at that conclusion unless he first had an- estimate ol the capital cost, sufficient-!} reliable to form a basis for all other calculations. All- Coates made the admission when discussing the Kiiikopuni line, and at the time that he was strictly on the defensive, but tiie declaration' was a remarkable one. We cannot accept it, but, if we did, if would make, tlie decision regarding the Taupo line inexplicable.,