POWER BOARD’S ESTIMATES

Manawatu Herald, Volume XLVIII, Issue 3642, 24 May 1927, Page 2

POWER BOARD’S ESTIMATES

WORK OF THE CURRENT YEAR FORECASTED. METER RENTS TO BE ABOLISHED. OTHER CONCESSIONS.™ At last week’s meeting the riorowlienua Power Board had befor it the estimates for the year 1927-28, and also the Finance Committee’s recommendations us to what concession could he given in rates a*frd other means of disposal of the profit of over £6OOO made last year. These included the remission of half the meter rents for the year —a matter of £BOO and better terms for the dairy factories would bring a loss of revenue of £2OO, while £2OOO was placed to a depreciation reserve for renewals of poles and lines when required, and £2373 was utilised to repay to the loan account interest and sinking fund paid during construction out of loan. The importance and magnitude of the undertaking may be gauged from the fact that the Board has to date spent £IBO,OOO on reticulation and that its estimated revenue this year will be £36,000. ESTIMATED RECEIPTS—I 92728. ELECTRICITY SALES. Lighting 12,800 Heating 4,000 Power 14,600 Street Lighting 1,300 Water heaters 2,300 35,000 0 0 Meter Rents (1-year) 800 0 0 Cottage Rents ' 266 0 0 Penalties 100 0 0 Trading Profit 250 0 0 Recoveries and Sundries, say 114 0 0 £36,530 0 0 Balance brought forward £6,730 0 0 £43,260 0 0 ESTIMATED EXPENDITURE. £ s d Electricity 15,500 0 0 Interest & Sinking Fund 12,000 0 0 Salaries 3,385 0 0 Wages 3,000 0 0 Maintenance 500 0 0 Transport 1,500 0 0 Public Lighting 150 0 0 Board Members 400 0 0 Office Rent & cleaning 215 0 0 Printing, Office Requisites 220- 0 0 Phone, Postages, Insurance 450 0 0 Outside Collectors £IOO, Audit £4O, Rates £6O 200 0 0 Meter Reader’s can 200 0 0 Contingencies 500 0 0 Depreciation Reserve 2,000 , 0 0 i £40,220 0 0 Less Loan Account’s share of Salaries and Transport 800 0 0 £39,420 0 0 SPECIAL COMMITTEE’S RECOMMENDATIONS. The special Committee, set up to consider possible reductions, re--commended:— (1) —That meter and M.D.I. rents be abolished after the first three bimonthly payments due in respect to the current year, except the weekend sea-side rates, which shall continue to the 31st December, 1927; but shall thereafter cease. (2) —That after meter rents are abolished, there shall be a minimum charge for heating of 1/4 per month. (3) —That from the 31st December until otherwise determined, the sea-side week-end rate, and churches, etc., which are also on this rate, the minimum charge shall be £2 per annum. For this sum the consumer shall be entitled to 40 units for lighting and 30 units for heating. Excess units shall he charged for at the rate of 9d per unit' for lighting, and 4d per unit for heating. In cases where no current is used for heating, minimum charge of £2 per year shall entitle the consumer to use up to 53 units for lighting. Beach cottages in which ranges are installed will be supplied with electricity at lid per unit, the consumer guarantees a minimum return to the Board under this rate of £5 per annum. (4) —That from the Ist April, 1927, the K.V.A. charge to dairy factories be reduced from £5 10s to £4 per annum. (5) —That the following appropriations be made from surplus at 31st March, 1927(a) ' Depreciation reserve, £2000; (b) Repayment- of sinking fund and principal paid during construction out of loan, £2373 18s. NEW LOAN EXPENDITURE. It is not. an easy matter to say what will be required until it is ascertained what work the Board will authorise. After consultation with the engineer, and allowing for stocks already on hand, the estimate given below should be somewhere near the mark for carrying out the following reticulation during the year:— Complete Matai Road, Raumati. Complete Soldiers’ Settlement Hoad, Paraparaumu. Otaihanga Road, Paraparaumu. Off Shanuon-Foxton Road (by Austins’).

Foxton main north road, extension. Swamp Road, Te Horo. Otaki Gorge road extension. Albert Road, Tokomaru. Victoria Road, Tokomaru. Whitanui flaxmill. Extensions to existing low tension lines. Details of the expenditure on these works totalling £9500 were given. CHAIRMAN’S COMMENTS. The chairman said the Finance Committee had very carefully considered the pros and cons of each item. These were merely estimates and could not be absolutely accurate except in regard to rents and salaries. If they erred, however, it would be on the safe- side. The chairman reviewed the estimates, remarking that the revenue from lighting was estimated at £6OO more than last year, and from heating at £259 more. There were always a number of raugas coming on. Rereipts from power were not increased very much as there was always the prospect of big power users going off for awhile, and of course there were others coming on. Street lighting was put down at practically the same and waterheaters increased by £IOO. Apart from the revenue from sale of electricity, the receipts from meter rents would be reduced by half from £I6OO to £BOO. The anticipated profit from trading was reduced from £6OO to £2OO, as they could not expect to sell the number of ranges and water-heaters in view of the number of people already supplied with these conveniences. Coming to the expenditure, the chairman said they expected to pay the Department £15,500 for electricity. This might be exceeded, hut in that ease there would be a corresponding increase in the receipts. The payments for current to the Department during the past four quarters had been as follows, each showing an increase:— £ March last 3945 December 3730 September 3233 June 3111 The actual payment last year was £14,019. Interest and sinking fund would absoi'h £12,000, wages £3OOO and salaries £3385. Transportation £ISOO, was one of the things that had given the Board a good deal of concern, but apparently it always would be high owing to the fact that they had a Jong narrow district. The chairman expressed the opinion that the estimates would be found to he framed on a safe basis. The estimates and recommendations were then adopted without alteration and authority given for the raising of the £10,090 required.