HYDRO-ELECTRICITY.

Taranaki Daily News, 23 August 1921, Page 5

HYDRO-ELECTRICITY.

PROVISION FOR FUTURE. DEPUTATION TO THE COUNCIL. THE IRONSAND INDUSTRY. A deputation, consisting of members of the council of the Chamber of Commerce and the executive of the Ratepayers’ Association, waited upon the Borough Council last evening, to press the need for making a survey of, further hydro electric resources beyond the present works, so that provision could be made at the works, such as the tunnel now under construction, should the survey bear out the impressions of the consulting engineers. The members of the deputation were the President of the Chamber of Commerce (Mr. T. C. List), Messrs. C. H. Burgess, S. W. Shaw, G. W. Browne, J. McLeod, A. W. Webster, G. Fraser, P. Staintou, R. J. Deare, R. C. Hughes, W. J. Penn, S. G. Smith, M.P., C Carter, L. A. Nolan, J. Brodie, E. P. Webster, W. H. Skinner, H. R. Boswell and H. J. Abram.

Mr. T. C. List (President of the Chamber of Commerce) said:—“A few weeks ago a number of citizens waited upon the council and asked that they reconsider their decision regarding the recommendation of the consulting engineers and the town manager in connection with making provision for the further supply of electric power. This "was done, and the decision previously arrived at was adhered to. We now come to you and again ask that the work of concreting and tapering the No. 2 tunnel be not proceeded with until a survey is made of the country above the hydro-exten-sion works to ascertain definitely if there are or are not possibilities of further power being profitably generated there in the future. ) A VITAL MATTER. “We regard the matter as one of great importance to the town and province, and for that reason we do not want a false step to be taken at the present juncture. In rejecting the advice of the engineers and the council’s chief executive officer, perhaps the council may have had reasons that have not been disclosed outside. If so, perhaps you would enlighten us before we go. As the matter appears to us, however, there is nothing to lose and everything to gain by having a survey made of the locality. The cost would only be a hundred or two, and the work of the tunnel need not be hung up pending tho completion of the survey. Tf the survey showed that further power could be obtained at a payable rate, then the tunnel could be enlarged as suggested. If not, then people’s minds would be set at rest and it will be shown that New Plymouth has done everything in its power to provide electricity for the I town and province.

‘But if further water can be secured and turned into the reservoir then the town can deal with outsiders for the sale of the current.

“Tf they secure adequate power on conditions that arc satisfactory, important British interests are. as you I know, prepared to establish iron and successful establishment would mean j steel works at New Pl. mouth. Their everything to the town and district, and New Plymouth would be lifted from the status of a provincial town to a city. Indeed, there is no limit to tho developments arising from the inauguration of such, an enterprise. It is worth making every effort to induce those interests to come here, and the supply of electric current in adequate quantity, and at a satisfactory price, is the considerat ion that will determine their action. We don’t want to go elsewhere, as they might well do, for New Plymouth has not a monopoly of ironsand. Before, therefore, we finally turn them down wo want to be perfectly sure of our ground. TRUSTEES FGR THE PROVINCE. "But really there is a more important consideration than even the attracting of big iron and steel interests to New Plymouth. We in New Plymouth are in a way the trustees of the hydro-elec-tric resources for much of the province. We have sought purchasers for our surplus current outside, and we are under an obligation to do our very best for the other districts. If we have latent resources we arc in honor bound to develop them as time and means permit; otherwise the district would be justified in going to the Government and asking that the management be given to the province as a whole and not to tho town. What could we say? Wo | could not oppose such a reasonable request if we had failed in our duty to develop the power, and we would deserve to lose control. But if we now and afterwards do everything in our power fo develop the hydro-electric resources wo will have discharged our responsibilities ’and can retain control. J "It is not the present we are concernI ed about so much as the future. But what we. do now has a great bearing | on the future. We may have extra power further up, or we may not. The only j way to ascertain the position is to have au examination and survey made of the ground. This, gentlemen, is what we ■ respectfully ask you to do. We do not I ask you to increase the diameter of the j tunnel or to go to any additional expense over the forebay now. That can be considered when the report is available. •f ask you, therefore, on behalf of important sections’ of the ratepayers . who are considerably exercised in mind | over this matter that you carefully re- i consider the question before finally breaking off negotiations with the Home firm, and before determining once and for all the extent of the present hydro- 1 electric works, as you must do if you i proceed with the concreting of the tun- i ncl as arranged.” THE IRONSAND POSSIBILITIES. I I Mr. W. J. Penn said there appeared to bo an impression abroad that Sumrnerson and Sons, the British engineering firm, were not in earnest over this matter, and that it was a wild ent scheme. Ho would like the council to put this suggestion out of their minds. The English firm had been investigating the question for two years, and on Saturday carried out a demonstration of smelting, which he had reason to believe, from news to hand, was successful. This showed that they were in earnest to establish the. iron and steel industry in New Plymouth if possible, and there was no need to emphasise | what this would mean to the town and , district. The firm had suggested pay- I ing £3 per h.p., a price which the elec- j

tricity department would probably regard as extremely low, and might not entertain. He pointed out, however, that Summerson and Sons were not likely to make tbeir best offer straight away, and Mr. Leggatt knew quite ‘wen that the terms he offered before ware not acceptable. He was also fully informed of the engineer s estimates, and no doubt recognised it was of no use coming to the council with an offer which it was impossible to accept. The probability, therefore, was that Mr. Leggatt would be prepared to negotiate on reasonable terms.

A GOOD PROPOSITION. Even supposing that the council only got £3 per h.p., said Mr Penn, this would bring in £12,000 per year, which would pay 8 per cent, interest on £ 150,090 capital outlay. If the council, by spending £'loo,ooo more, could so augment its water supply to enable it to guarantee 3000 k.w., it was surely good business to spend it. The possibilities of securing further water were for the experts to decide, and he had been told by an engineer that there might be something in it. For that reason he believed that before proceeding with the works the council should ascertain what the prospects were. Everything possible should be done to try and meet Summerson and Sons, and the council should not give them the impression that they were not wanted. The Mayor asked why the speakers had alleged that the council were breaking off negotiations. Mr. Penn replied that this was certainly the impression which had gained currency, and if the council decided to limit the supply, negotiations could not be continued.

SATISFYING THE RATEPAYERS. Mr. C. H. Burgess said the opinion had been given by the engineers that there was more power to be had, and he thought the ratepayers generally would feel more satisfied if these statements were investigated. So far nothing had been done in this direction, and the ratepayers would be glad if some surveys were made. In supporting the request that the fullest information should be obtained, Mr. Carter said that the whole of the deputation believed there would be a demand for whatever amount of power was ultimately available. I 4 or the small amount involved in enlarging the tunnel and forebay, the council would be quite justified in taking upon themselves the responsibility for this work. There was a strong opinion in favor of enlarging the tunnel so that additional power would be available for industries in New Plymouth. Their request, as put forward by Mr. List, was a simple one, and could easily be acceded to.

Mr. McLeod said they really did not understand why the council had turned down the proposals without taking steps to get information as to the possibilities of power, which the engineers said was available. The stand the council had taken, in his opinion, had the effect of breaking off negotiations with the English engineering firm. There was nothing to negotiate on when they did not have the power to sell. As a ratepayer, he said that there was a great deal of feeling and a certain amount of apprehension over the councillors acting what was considered injudiciously. The matter should be reconsidered. and every step taken to find whether the water was available. The council would not be taking any risks in carrying on the works to the fullest capacity if the survey showed that the water was available.

THE MAYOR’S REPLY. i Replying, the Mayor said that when i one considered that at no less than seven meetings of the council this mat- ' ter had been considered, it was unfair ; to say that, they had come to a hasty conclusion. In fact, the council had i never been asked to make a survey, ex- ■ eept indirectly. It might be possible !to get extra water, as the mountain was the source of many streams; it was ' not a question of extra water, but of i cost. Therefore, to take a survey only I was not sufficient; they must have es- . timates. ( The council had been engaged for eighteen months in carrying out the scheme recommended by the consulting i engineers, and approved by the ratej payers on no less than three occasions, ,at an increased cost. While the council were thus engaged (he council re- ! ceived a report, which, in effect, was: I ‘"We think it possible to get. more water, ; and strongly urge a survey being made, , especially of the Stony River.” The j council, however, knew that using I Stony River was out of the question, i and they left it at that. They had ■ £lOO,OOO committed out at the works, j and they had to make ibis sum inter- . est-bearing as soon as possible. DirectI ly tho works were finish'd the capital would not bring in interest, and what would be. the result? It would mean that the sum of £7OOO which hitherto i had gone on the' streets would have to i be diverted. THE COST INVOLVED. ' . The sum of £130,000 would be needed shortly to meet loans falling due, ; and the consolidating loan would have | to be raised at a highly increased rate of interest, and which would probably l mean an increase in the rates of 3d in I the £1 or more. I It was all very well to accuse the I council of lack of vision, but they had : to provide for this town not being set | back through having to bear very high rates. Strange to say, though the deputation had heard much complaining at the council’s decision, he had heard commendation. The consulting engineers had been asked how long a survey would take, and replied that it might take a short time or that a considerable period might be necessary in which to complete the work. According to the original estimate, it would cost £B5OO to enlarge the tunnel, and this had not been authorised by the ratepayers. So long as he was in the chair he would not be a party to this unauthorised expenditure. If it was the ratepayers’ wish to spend it, let them say so. Already the estimates for the work had increased practically 400 per cent., and the council were trustees not only for those present, but also for the whole of the borough.

Though the question had been closed, if it was the unanimous wish of the council the discussion would be re-open-ed. There would be no objection to making a survey provided the council could get an estimate of the cost. The tun-

nel, etc., involved an outlay of £B5OO, apart from the survey, and this work and the necessary calculations, extending over some weeks, would possibly inn into several hundreds of pounds. Meanwhile the council would have to decide what was to be done while the survey was being made. They had a big financial responsibility, and had to bring this work to the payable stage as soon

as possible, and councillors dar? hang it up any longer than necessary, THE COUNCIL’S RIGHTS As regards the negotiations, he took the strongest exception to any suggea-* tion that the council had in any way led Mr. Leggatt, by false promises, to expect anything. All they had been | asked to do was to express their readi-' ness to negotiate with him, .and tho council had intimated their willingness to do so. There were two clauses in Mr. Leggatt’s proposals which the deputation had not mentioned, as to w.’iich, he was sure, no ratepayer would agree. One was that Messrs. Summerson and Sons should have control of the works and give the council the residue of power, and the other asked for a voice in the design of the power-house. In. neither of these instances would the council ever consent to the preliminary terms. In thanking the council for the hearing accorded the deputation, Mr. List said they had followed with interest what the Mayor had said. So far os delaying the construction of the tunnel was concerned, he understood that the idea was to put in drives along the route, and the piercing work could go on at these different heads while the survey was being made. There was no desire on the part of the deputation to in any way tie the hands of the council. They were just as jealous as the council for tho protection of the right? of the town, and would not agree tc these rights being given to tht English engineering firm or anyone else. The chamber was of opinion that the council should exhaust every possibility of dealing witfy Messrs. Summerson and Sons before a conclusion was arrived at. The possibilities of securing more water were good, and the suggestion had been backed up by the town manager (Mr. Bellringer), who had never yet let them down. They ’ were under a debt of gratitude to him for holding up the works recently by securing the necessary loan, and it was to be regretted that his recommendation had not been carried out by the council. In saying this no reflection on the council was meant, and all those doing work on behalf of the borough were deserving of the gratitude of th« citizens. At the same time he could not agree with all the Mayor had said. DECISION HELD OVER. Cr. J. Brown said that if the survey was made the work on the tunnel would have to be held up, though it was essential this should be done as rapidly, as possible. He had asked where the water was to be obtained from, and as far as he could see the only source would be Bell’s Falls. Neither the Maketawa nor Inglewood streams would be available, and they did not know what the cost of using the flow frofli the first-mentioned source would be; no doubt .something considerable. The cost of the hydro works had been increasing all the time, and the council was also faced with other liabilities, in-* eluding protection works against erosion and the raising of moneys to meet! loans falling due. He had been one who had advocated increasing the size of the tunnel, but he had objected to spending five or six thousand pounds. He did not see why the engineers could not enlarge the tunnel and leave the other work on the forebay. The estimated cost for enlarging the tunnel was £B5OO, but it would bo nearer £lO/WO. Cr. ’BlackhaU was of opinion that tho matter should be referred back to the ratepayers at a general meeting. The Mayor intimated that discussion would be held over to enable the matter to be dealt with by a full meeting of the council.