PROPOSED TAUPO RAILWAY.

Wairarapa Age, Volume XXXII, Issue 1038, 19 August 1911, Page 5

PROPOSED TAUPO RAILWAY.

—-—<p- • AN EMPHATIC PROTEST. j The following communication, from the Rotorua Chamber of Commerce was read at the meeting of the Council of the Masterton Chamber yesterday : _ I am instructed by the' Rotorua Chamber of Commerce to draw your attention to what my Ch:.:iiber considers- a most serious menace to commercial industry in New Zealand. The Taupo Totara lumber Company, Ltd., has at present a private railway line from Putaruru ]to Mokai for tim'ber purposes: It is now proposed to form a new company for the purpose of taking over the railway interests of the private Taupo Totara Timber Co., carrying the present line from Putaruru to Mokai through Waira-' kei to Taupo, some 63/ miles, making the line fit . for passenger traffic, and acquiring Wairakei and the Spa and.Taupo Hotels at Taupo, purchasing the freehold of a considerable area of land from Mokai to Taupo, and eventually selling to the Government. My Chamber feels that to allow any company to acquiro in this manner a private railway will open the door to all the evils of "rebates" and" "graft'-' experienced in America. The present Government has always affirmed the principle that all railways - should be owned by the' State; and my Chamber feels convinced that 'the people of New Zealand, and particularly the business people, will call for the strongest reasons before sanctioning so radical a change. We need hardly point out that in this present case grave abuses would be almost sure to arise immedialtely. Two instances' alone will be sufficient The rates that the proposed Order-in-Council will allow for freight average 50 per cent, higher than the Government rates. The company ■at the present time may not intend to enforce the maximum charge for freight, but the right at any time so to do would create an intolerable hardship for settlers, and those compelled to use the line. Secondly, the proposed company will be the proprietors of all the hotels in Taupo, and incidentally will have control of the timlber mafket in Taupo. WhSe ho objection, can be M?aken *to qny company legitimately expanding.- its. business, when, such ydiver.se interests are in. the lrondi/of a Company which rid the sole proprietor of the only railway line in the distinct, it ' need hardly be urged that most .serious injustice must inevitably be done to any competing industry in tlie district. My Chamber wishes to make it clear that it is in no way opposed to the Taupo Totara Timber Company as such; needless to say, the expansion of every legitimate business in New Zealand must meet with the approval of every business man in New Zealand. But it is surely of vital importance to every business and industry in New Zealand to prevent any encroachment on the principle so long affirmed hy the prer- ' sent Government that railways in New Zealand should be State railways, It is understood that the Taupo Timber Co. will place this matter before Parliament at this session. We therefore think that immediate steps should be taken, and a copy of this letter is being sent to every Chamber of Commerce in, the Dominion. We shall e&teein it a favour if you will bring this letter .before your Chamber, and obtain an expression of opinion from your Chamber as to whether you are insyrmpathy with our opposition, to the application, .and what steps you recommend should* be taken.