LOCAL BODY LOANS.

Taranaki Daily News, 19 January 1921, Page 4

LOCAL BODY LOANS.

The reply which the New Plymouth Borough Council has received to its request to the Minister of Finance for 'permission to advance the rate of interest in connection with its loans for electric power extension and for tramway purposes, will create a feeling of much disappointment. The municipality in its electric current extensions is doing a work of a national character. It is'', moreover, of the utmost importance to a large portion of Taranaki, especially in view of the numerous coal troubles and shortage. Yet. the Minister considers this work, on which a great deal of money has already been expended, and on which in large measure the progress and development of the district and its many industries depends, does not appear to him to be of a “pressing character.” By what method Mr. Massey has arrived at his decision it is impossible to determine, but that the fiat is unjustified and illogical is clear. The Minister stresses the stringency of the financial situation, the existence of which no one denies. At the same time it is not so critical that the Government should bar undertakings that will go far to help in relieving the burdens of the people by providing cheap electric power. In cases where direct hardships, expense and inconvenience can be saved by means of a judicious expenditure of loan money, it would be thought the Premier would facilitate rather - than impede the progressive action of public bodies, and it is to be hoped that the deputation appointed to interview him on this matter will be able to convince him that' not only are the works of a pressing character, but are of such vital importance that will thoroughly justify the. sanction of a higher rate of interest for the loans and the early completion of the work.