COAL PURCHASES

Hokitika Guardian, 6 September 1930, Page 3

COAL PURCHASES

•RAILWAY DEBAR TM ENT’S POLICY. QUESTIONS IN THE HOUSE WELLINGTON, Sept. 3. Information concerning .the supposed importation of large quantities of coal for the' railways was sought from the Minister for Railways, the Hon. AY. A. Veitcli, by Air J. O’Brieh (Lab., AYestiand) in the House? to-day. In an urgent question without notice Air O’Brien asked the Minister whether he was aware that a large amount of coal had been brought into ■lie country for use on the railways. He said lie understood that between 10,090 and 50,000 tens had been Srought into the country for tiiat purpose. within the past four or five months.

The Alinister said that although he had.not had a chance of enquiring into the question, he was able to say that he had. no knowledge of large quantities having been imported. Me premised to look into the matter, and to give the information to Air O’Brien privately, and to make it public if he wished. Air J. tS. F'letehei' find,, Ore*' LyiuU who asked the” Minister' uflietber lie would refer the contract entered iiftd by the' Railway 'Department' and the Taupiri Coal .Company/ Ltd'.-, to; the Railway Committee for consideration and renort with power to call for"persons and papers,' and ari instruction to report in 1-1 days. : ‘ ’ “In view of the negotiations at present taking place, it is ; riot 'in the public interest that, information Should be given at present,” replied the Alinister.

“Why?” asked Air Fletcher, but his query was unanswered. Later, Air W. J. Broadfoot (IT.. AVaitomo) asked the Acting-Prime Minister, the Hon E. A. Ransom, the following question: “Ais the Government recently entered into a contract with the Waikato coal owners for the supoly of a large quantiv of co-al to the Railway Department, and as a definite and positive move towards the solving of the. unemployment problem, will the Acting-Prime Alinister arrange for the Department to offer a contract for the supply of smokeless fuel in the Ohai Valley district? Tf such contract is offered, the capital 1 is available to. establish low temperature distillation works in that district. This means the introduction of much-needed overseas capital to the Dominion, sound economic help to Die. coal industry, more employment, a huge annual saving in fuel to the -Department,' and better working conditions to the drivers and firemen.on locomotives.”

Air Ransom’s reply was as follows: “The Railway Department entered'into a contract for the supply of coal in the' AVaikato because it was advantageous to the Department to do so in the particular circumstances as they existed in connection with that transaction. Tf any other fuel producing concern has fuel to offer the Department will consider the circumstances and decide whether it will enter into a contract or purchase in the open market. Those who have, been concerned with the proposal for the establishment of carbonising works in Southland have already been informed that the Railways Department, will he pleased to consider the purchase of carbonized fuel when the commodity is available for use by the Department. However, I propose to look further into the matter.” Mr Broadfoot: Don’t you want more capital ?