RAILWAY RETURNS

Waikato Times, Volume 119, Issue 19888, 18 May 1936, Page 6

RAILWAY RETURNS

Last year the New Zealand railways carried over 20,000,000 passengers, an increase of about 700,000 on the aggregate for 193435. That will be regarded as evidence of improved conditions, and the Department benefited to the extent of £97,000 added to the passenger traffic revenue. The figures for the year that ended on March 31 are of particular interest because they mark the close —at any rate for the time being—of control of the railways by an independent board. That competent authority had to conduct the service during the whole of the prolonged depression, and its record can be studied in the annual reports and especially in the returns that accompany the Statement. There can bo no doubt at all that the Railways Board handed over to the Minister a transport service much better regulated and more efficiently run than when it began operations, and when the time comes to compare ministerial with board control the conditions ruling in the past few years must be taken into consideration.

The abstract of the Department’s figures published in the Gazette affords pleasing proof of the renewed activity. General freight showed an increase of 121,000 tons and as the railways handled nearly 5,200,000 tons in the twelve months they must still be regarded as the foundation of the transport system of the Dominion. There was also an increase of 52,000 tons in the quantity of timber passing over the lines, due to the renewed activity in the building trade and the need milling firms had to build up stocks. The number of livestock carried was a little below those of the preceding year, and this class of freight was the only one to show a decline. On a tonnage basis the aggregate freight handled advanced by 165,000 tons. The financial results for the year showed an increase of £376,000 in revenue and of £412,000 in expenditure, resulting in the net revenue dropping from £1,087,000 in 1934-35 to £1,051,000 last year. Although the movement is an adverse one it is not as marked as had been expected. The Minister of Finance in the late Government budgeted for a decline of £120,000 in this item, due to the restoration of cuts in salaries, and wages and the actual fall has been only £36,000. The railways do not by any means meet the full interest charges on the capital invested, but under the direction of the board they made steadily increasing payments. With more active trading and generally improved conditions the new Minister of Railways should be able to present returns next year showing still further improvement. The board’s record will be the standard by which his work will be judged.