H.—4o.

In addition to the above provisions, which, of course, apply to individual services, the Licensing Authority is empowered, in cases where desirable in the public interest, to fix the fares and timetables of any service so as to prevent wasteful competition with alternative forms of transport of any kind. The protection afforded to electric tramways in the Motor-omnibus Traffic Act, 1926, against the competition of motor-omnibuses is carried forward in the provisions of the Act. The Licensing Authority must, where necessary, so fix the fares for any passenger-service that the fares charged for the carriage of adult passengers over any route or section thereof within an area that may be conveniently served in whole or in part by an existing tramway service shall be at least 2d. more than the corresponding fare charged in respect of the tramway service. Right of Appeal. Provision is made whereby appeal may be made to a specially constituted Transport Appeal Board against the decision of any Licensing Authority. Machinery. Immediately after the passing of the Act, steps were taken to create the necessary machinery as follows :— 1. Appointed Day. —This was fixed as the Ist March, 1932. 2. Transport Districts. —The ten districts shown in the maps in the Appendix were created, and with the four Metropolitan Districts (Auckland Transport Board Area, Wellington City, Christchurch Tramway District, and Dunedin City) made fourteen districts altogether. 3. Personnel of Licensing Authorities.—The gentlemen whose names are given in the statement at the back of the statistical tables in the Appendix were appointed members of the various Licensing Authorities. 4. General.-—Procedure regarding applications for licenses, licenses, Appeal Board, fees and allowances to members of Licensing Authorities and Appeal Board, and various other matters of a machinery nature. 5. Fees.—The fees were fixed on a basis calculated to yield sufficient revenue to cover the costs of administration, and are as follows : — Nature. Amount. £ s. d. (a) lo accompany each application for continuous and seasonal licenses ..300 (b) To accompany each application for temporary license . . .. ..026 (c) On issue of continuous and seasonal license .. .. .. ..200 (d) To accompany each application for a certificate of fitness— (i) Contract vehicle .. .. .. .. ..200 (ii) Vehicle to be used under a passenger-service license .. ..300 (iii) Vehicle licensed under Motor-omnibus Traffic Act .. . . 215 0 (e) To accompany applications for temporary permit .. .. ..026 6. Financial Statistical.—Section 37 of the Transport Licensing Act provides that regulations may be made prescribing the accounts and records to be kept by licensees, and giving the Minister of Transport power to ask for such information and data as may be necessary from time to time. The fundamental object of these provisions is to provide machinery whereby the Minister may be in constant and close touch with the operation of passenger-services and their financial position, so that steps may be taken to ensure that the savings resulting from the operation of the Act are passed on to the public in the form of reduced fares or better services. When it is remembered that the long-run effect of the provisions of the Act will be to confer valuable monopoly powers on operators, it will be recognized that a comprehensive and reliable system of financial and statistical returns will provide the means of safeguarding the interests of the public. Financial and Opebating Statistics, Year ended 31st Mabch, 1931. Table No. 9 in the Appendix gives detailed statistics relating to the operation of passengerservices in the Dominion during the year ended 31st March, 1931. These data were collected on returns which accompanied applications for passenger-service licenses, and although it was found that, many operators had incomplete records, and a considerable amount of estimation was necessary, it would appear that the total figures give a reasonably accurate picture of the position in each district. The fact that it has been impossible to classify the financial and operating data according to the sizes of the different vehicles detracts considerably from the usefulness of the figures, and makes the averages computed in connection with the revenue and operating costs rather non-typical of actual conditions. The figures, however, may be taken as sufficiently accurate to offer a general basis of comparison with similar figures which will be collected in the future. An examination of the details in Table No. 9 reveals the following principal features : 1. Capital.—The capital invested in the public motor passenger-transport industry amounts to just under £700,000, of which the sum of £70,000 represents borrowed money. Attention is directed to the fact that the unpaid purchase-money on vehicles held under the hire-purchase system has not

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