COMMERCIAL AVIATION

Sun (Auckland), Volume II, Issue 497, 29 October 1928, Page 12

COMMERCIAL AVIATION

AN AVENUE FOR INVESTMENT N.Z. PROSPECTS By "NOON CALL.” Several schemes Having in view the exploitation of air services on a commercial basis have been quietly placed before New Zealand investors during the past three months. It is held that big rewards await those prepared to develop the movement in this country. Recently the National Bank of Commerce, New York, published a comprehensive review on commercial aviation. The article dealt with many phases of the movement, giving figures relative to costs and service drawn from actual experience in the United States and Great Britain, over the past year or so. Two facts were established, which have a direct bearing on New Zealand conditions. Firstly, experience has shown air transport to be both reliable and safe. In 1927 the mail routes operated by the United States Post Office Department completed 95 per cent, of the mail trips scheduled. The loss of air mail in the United States has been less than one thirty-seventh of one per cent, of the mail carried. Transport by air is not yet as safe as by rail, but figures based on experience in Britain over the past seven years show that one could travel the distance round the earth with the chances of being killed less than one in 40. It is said that within the last three and a-half years the Imperial Airways has flown over 13,000,000 passenger miles without injury to one passenger. The second point established by the report, however, is that commercial aviation has not yet advanced far enough to allow it to stand on its own feet without Government assistance, except over the busiest routes where travellers are prepared to pay the additional money for the time saved. In the United States, at the time the report was compiled, there were over 40 lines operating, 23 carrying mail, while contracts were being drawn up for seven additional mail services. In addition, there were over 120 civilian air schools and 82 concerns engaged in aerial photographic work. The report however, does not pay much attention to the activities of the two last movements, rightly asserting that as the novelty of flying wears off there will be less call for the services of companies engaged in other than strictly commercial aviation-transport. Dealing with the possibility of development of the commercial side of the service, the report states emphatically that immediate development must be looked for in countries which already have advanced railway services, for it is in these countries that the time saved by air will be worth the added expense. In both the, United States and on the Continent of Europe, experience had shown that the most profitable routes were those already well catered for by speedy and reliable rail and water transport services. The whole tenor of the report is sufficient to cause those considering propositions to engage in commercial aviation schemes in this country to move with considerable wariness. In the United States and on the Continent they have only proved financially satisfactory on populous routes, where passengers and urgent mails are available in sufficient strength to keep the services running at maximum capacity. In New Zealand there would be several natural disadvantages to contend with, and in addition it is an extremely moot point whether, after the noveltyhad worn off, the questionable advantages which would accrue would be sufficient to justify the payment of the extra cost. After all, New Zealand is fairly well served at the moment in regard to transport of both passengers and mails.