PETROL SUPPLIES

Manawatu Standard, Volume LX, Issue 250, 19 September 1940, Page 11

PETROL SUPPLIES

RESERVE BEING BUILT UP. PROMISE OF REVIEW. WELLINGTON, Sept. 19. Upon the attainment of a petrol reserve of a certain quantity in New Zealand the petrol rationing policy will be completely reviewed, said the Minister of Industries and Commerce (Hon. D. G. Sullivan) at the motor trade conference dinner last night. Mr Sullivan informed the gathering of the quantity of petrol in the country and tlie reserve that was the Government’s aim; but asked that the figures be not published. He assured his hearers that the sacrifices the rationing liad caused the trade to make were necessary to the advantage of the United Kingdom.

Petrol restrictions were applied, Mr Sullivan said, to build up adequate reserves. In November, before the restrictions wore lifted, the United Kingdom Government asked New Zealand to continue the restrictions. However, by the end of November the reserves considered necessary by the Government were in hand, and because of the exhibition and the Christmas season the restrictions were lifted. In December representations were received from t'he British Government that rationing be reintroduced. The New Zealand Government pointed out to the British Government the effect that rationing would have on the economic life of the country, but England still urged that rationing be reimposed. The Government decided that there should be no petrol restrictions during the holiday period, but agreed to reduce consumption by 30 per cent, as from February 1.

The cables between the New Zealand Government and England were shown to representatives of organisations vitally affected and to editors of newspapers. All supported tlie Government’s action and t'he Minister said be would like to express to tbo motor trade bis appreciation of its offer of support and co-operation. RESERVES BELOW LIMIT. During June tbo international situation gravely deteriorated. France collapsed and tlie disposition of the French fleet was uncertain. Italy was in the Mediterranean and at the mouth of the Red Sea. The situation in the East was far from reassuring. The reserves in stock, taking the above factors into consideration, were below the limit considered necessary, so the Government decided to reduce the ration for domestic and pleasure purposes to one-third and to review petrol licenses. Throughout the period, every endeavour was made to increase imports, but the collapse of Norway and other shipping complications made this difficult. From February 1 to the end of August, consumption had been reduced by 25.8 per cent. It would be noted that that was below the 30 per cent, originally aimed at. The Government, advised by the fighting services and the War Council, which gave close attention to every factor in the situation, determined upon a certain reserve as being indispensable to the security of the country. When that reserve was reached the Government would consider the posi-l tion In all its aspects, including the justification for altering the ration. “I have no authority from the Government to say to you that the ration will he increased,” Mr Sullivan said, but following the attainment of the reserve the position and policy will be completely reviewed.”