POWER BOARD PROFITS

Sun (Auckland), Volume III, Issue 668, 21 May 1929, Page 8

POWER BOARD PROFITS

ENJOYING a monopoly in a highly saleable commodity, and free to operate in a populous and progressive district, the Auckland Power Board finds itself in an enviable position among Zealand local bodies. In the accounts for the year just closed it presents another handsome profit amounting to ~49,457. This figure is not as large as the clear margin of the previous year, but it is large enough to make a big difference to the look of the accumulated surplus, and to warrant greater consideration to consumers than has hitherto been shown. Enjoyment of a monopoly imposes responsibilities, and in -'andard of service the Power Board has met these irreproachably. V* hen it took over the municipal electric supply undertaking in consumers numbered only 8,500. Today there are over 40,500 of them. Consumers have little to complain of as to delivery of x»ower and quality of facilities at their disposal, particularly when it is remembered that the delay at Arapuni placed a severe burden on the overworked King’s Wharf plant. In spite of all this, the board has yet to capture the eomnlete goodwill of its 40,000 customers. Though domestic load has increased from little more than a sideline to be the board’s principal source of revenue, ratereductions commensurate with this development have not been made. In the latest Abstract of Statistics Auckland’s index figures for fuel and light are still higher than those for the three other main centres. Admittedly this comparison is based on the requirements of a relatively small householder. The Auckland board’s position appears more favourable when big accounts are examined; but some consideration might reasonably be shown to the small consumer. The irritating standing charge of 6d a month is to be abolished as a token of gratification for this years profits, but the elimination of other obnoxious features, including the cash deposit or bond required of non-property owners, might also be considered. The board is not a private corporation earning profits for shareholders, but a public utility concern with a responsibility to all classes of the public. The margin of profit should therefore le"' narrow ed down as far as possible, consistent with security. 1 he new office building in Queen Street represents beaw expendiiire that cannot be justified except by the need for more central office-, in which case an expensive error was made when the present offices were built in Quay Street as recently as 1924-25 In respect to underground cables, too. public confidence has been -haken. Though it is satisfactory to note that a more vigorous policy of overhaul is to be initiated.