TRAMWAY FINANCE

New Zealand Times, Volume XXXVII, Issue 8346, 5 February 1913, Page 6

TRAMWAY FINANCE

Yesterday we were able to publish particulars of the city tramways revenue and expenditure for the last forty weeks, covering just over throe-fourths of the current financial year. On examination, we believe they will ho found to justify the Mayor's summary: “Very satisfactory indeed.” It will he remembered that some few months ago the. City Council found the financial position of this important municipal enterprise in need of drastic revision. This was mainly due to the cost of maintenance and upkeep having increased with the growth of the system. l.ho authorities were faced with tho very unpopular duty of shortening some of tho sections and restricting the rather generous schedule of concessions that was in operation. The task, however, was taken courageously in hand, and although everybody was not completely satisfied, it must be some general satisfaction to know that the system is how on a much sounder footing. The credit balance for tho portion of the year that had expired on January sth is more than double the amount shown for the corresponding part of tho previous twelve months, the revenue having grown by £5733 and tho working expenses by only £2.i93. Ccntesimally, tho percentage of working expenses to revenue has been reduced from 70.88 to G 9.21 per cent. For the latest fourweekly period the comparison is still more favourable, the expenses having actually decreased while the revenue went up over £I4OO. As there is no reason to anticipate a repetition of the rather abnormal falling off in revenue that was experienced last February and March, the board of management v likely to present a satisfactory report at tiro close of tho financial year. It is, of course, a requirement in the administration of a municipal undertaking that tho public should bo served as cheaply and efficiently as may consistent with safe finance. That is where the difference comes in as compared with private enterprise. On the whole, the City Council seems to he running the service successfully, and there is no apparent necessity to do as is desired in certain quarters—that is, to sell out.