PUBLIC WORKS.

Taranaki Daily News, 21 October 1922, Page 5

PUBLIC WORKS.

FOUR MILLION LOAN. DEVELOPING THE COUNTRY. MONEY TO COMPLETE SCHEMES,' BORROWING OR TAXATION. By Telegraph.—Press Association. Wellington, Last Night. In the Houtte to-day, Mr. Maasey moved the second reading of the Aid to Public Works and Land Settlement Bill, which authorised a loan of £4,000,000, which might be expended on any of the following purposes:— Construction of railways and additions to open lines. Additional rolling stock for open lines, and such other works and puri poses in connection therewith as may | be authorised. 1 Telegraph extension. The construction and improvement of roads, tracks and bridges, for the purpose of providing and improving means of access to any lands. Developing goldfields and such otner works and purpose; in connection therewith a«s may be authorised. Other public works, including administrative charges in respect of any public works of the classes referred to in this schedule. On this Bill the debate on the Public Works Statement was taken. The Premier said he was proposing in the Bill to raise a loan of £4,000,000 for public works. He would ask in the Finance Bill for authority to transfer £1,000,000 from the accumulated surpluses to the public works fund. This £1.000,000 was at present held by the railways improvement account, and that account would have to be replenished by means of borrowing under authorities already in existence. He gave details of certain transfers and adjustments that had already been made. BORROWING MUST* STOP. The Premier proceeded to discuss public works, and went over much ground already covered by the Public Works Statement. The Government, he said, was not buying land at present, as it had still a large area waiting to be taken up by soldiers and others. An area of about 18,000 acres was available for settlement by soldiers, and about 418,000 acres was ready for general settlement, with preference to soldiers. He realised that borrowing could not nroceed at the present rate indefinitely, but the works in hand must be carried to completion. Many of these works did not pay interest directly, and the House must face the -fact that they meant an increase of taxation, or at least the maintenance of taxation that might otherwise be reduced. The Dominion must taper off its borrowing, and in future the Government was not going to undertake any new railways unless they would be directly payable. Mr. T. M. Wilford (Leader of the Opposition) criticised public works finance, which, he declared, bore the same characteristic as the Financial Statement, viz., voting more money ’ than was required and then claiming unexpended amounts as savings. He declared much public works’ material had been purchased much too early, and he wanted to know how much the Dominion lost through material being purchased too early and lying unused. He also wanted to know how much we had’ lost through purchasing British electrical material in preference to American, and how much the capital coat of the Mangahao power works had been increased owing to this cause. COST GF PREFERENCE. He was prepared to give Britain reasonable preference, but there must be a limit to that preference against American and Swedish electrical machinery, which was generally superior to British. The House ought to he told what unlimited preference to Britain cost the Dominion. He warmly advocated an extension of irrigation operations, which was one of the most profitable investments the Dominion could make. Of the benefits of large irrigation works he had seen the most convincing proofs in California. Mr. G. W. Forbes (Hurunui) said there were seventeen railways under construction, and the policy of concentration was going by the hoard. On the other hand the South Island Main Trunk line was not even mentioned in the statement. He was not in favour of commissions, but he did think there was work for a commission to inquire into the lines under construction and put a stop to wasteful expenditure going on. He considered the first need of the country was roads and bridges. Mr. W. T. Jennings (Wa’.tomo) agreed that roads and bridges were the first necessity of the country, as the possibilities of railways were passing away. Still, while we had railways it was the duty of the Government to see that they were not injured by competition with motor traffic. No future land settlement should take place until roads were made and bridges built. The hardships and privations of settlers whica he had witnessed during the past 20 years convinced, him of that. MAKING LINES EARN.

The Minister of Public Works (the Hon. J. G. Coates) said the public works policy was dictated by national necessities, and not by political considerations. He had not authorised one new line since he took office. There were heavy ! commitments already for railways, ami tall energies must be bent to making I these reproductive by filling up the ; gaps between sections of main lines. He i cited the North Auckland? Main Trunk, the Waihi-Tauranga, the Gisborhe-Na-Ipier, the Okahukura-Stratford, and the ’ Oti-ra tunnel, where the works in progress would enable considerable lengths to become revenue producing. However, plans for concentration on two or three railways could not be adhered to when they had unemployment calling for attention. Work had to be found, and it was found by putting men on to various works. The Minister recognised the importance of road requirements to open up the country. The apportionment of I money for these works to various districts was made with the greatest possible fairness. He agreed that irrigaI tion was going to prove most important to the whole country; already its value had been strikingly proved in Central • Otago. Mr. Coates added that the averj age cost per mile of railways handed

over for working during the last two years was £13,402. Mr. H. E. Holland (Leader of the Labor Party) appealed for the continuance of the ’railway from Reefton to Westport through the Buller Gorge. Every incomplete line should be completed so as to be made productive. The Buller Gorge railway would pay its way as soon as it began to operate. The second reading of the Bill was agreed to, and the House went into Committee of Supply to consider the Public Works Estimates. The whole of the votes, amounting to £6,762,223, were passed in five min utes.