OTHER PEOPLE’S IDEAS

Wairarapa Times-Age, 6 December 1940, Page 7

OTHER PEOPLE’S IDEAS

KITCHEN COAL • (To the Editor.) Sir. —Following is a copy of a circular letter the writer received from one of the Waikato coal companies today:— Memo to Customers. "Re Kitchen Coal: Due to shortage of coal for industrial purposes we are crushing the whole of our kitchen grade into slack. Until further notice practically no kitchen coal will be available. The small tonnage of house coal, which is today only about 11 per cent, of our output, will obviously be insufficient to fully satisfy the present requirements of coal merchants, but we will distribute same among oui clients with the greatest possible degree of equity and fairness. No domestic or run-of-mine coal will be available for the public retail trade. All colliery companies are similarly affected." It is hardly necessary for me to say I was thunderstruck on reading this memo. During the years I have been associated with the coal trade I have never known of any acute shortage during the summer months, nor do I think our industries have increased so as to absorb 90 per cent of the Waikato mines' output. During past summer' seasons the mines have had to work short weeks owing to shortage of orders. The winter generally brings along its shortages, but these are generally caused by differences between employer and employee. Some short time ago the Minister of Mines stated that he had been successful in saving thousands of, tons of coal a year simply by having the mines reduce the size ol the kitchen screen, thereby putting more small or what was slack coal into the kitchen grade. Today we receive a letter telling us that there is not enough small coal that the householder must go without and that their grade of coal must be ground up and made into what the Minister said some little time ago was waste.

It seems there is a nigger in the woodpile somewhere. Slack coal is approximately one-third the price of kitchen coal; therefore by crushing kitchen coal into slack grade the companies will have a very considerable loss in income. Who is going to meet this loss? When the mining companies increased the price the Government, in order to avoid the costs being met in a direct manner, subsidised the companies, which then withdrew the increase. Thus the increase was met by indirect taxation. Will the taxpayers meet this loss in income by taxation and. into the bargain have to go without coal?

What is to be the lot of the coal merchant? If the situation is as stated by the memo, the sooner the coal merchant closes his door the better. No merchant ever made any money during the summer months. In fact, I know he loses, but hopes always to give service during the summer months to those who are dependent on coal for fuel and to retrieve his income in the winter. This he has generally managed to do, but I fail to see how he is now to get anything during the summer and any prospects of much more during the winter, for his proportion of the 11 per cent of house ; coal will be next to nothing. It is my opinion that there is more behind the situation than is stated by the letter and I think our ■ member should make a few inquiries and let us know just what the position is.— Yours, etc.,

R. V. MASON. Masterton, December 4.