13

H—2B

the reorganization of rural local government on the 27th September, 1949, and concluded on the 3rd October, 1949. The inquiry involved the functions and districts of the seventeen counties in the North Canterbury region, two Town Boards, and a Water Supply Board. Reference is made later in this report to this particular inquiry and to our provisional findings thereon. Electricity Consideration was given by the Commission to the question of the supply of electricity to those areas of the Springs-Ellesmere Electric-power District which were included territorially in the city —namely, the Sockburn and Hornby areas. Although it appeared logical from the point of uniformity for the Christchurch City Council to supply these areas, consideration had to be given to the question of the effect on the Springs-Ellesmere Electric-power Board financially if these areas were excluded from its district. Evidence was presented to us that these areas, which are largely of an industrial and residential character, comprised one-third of the Board's load, and were of an entirely different character from the remainder of the district, which was, generally, of a rural nature. The load in the Sockbufn-Hornby area was a balancing factor which was most important from the point of view of the operations of the Springs-Ellesmere Electric-power Board as a whole. There was no doubt that if these areas were transferred to the city for electricity purposes the charges in the remainder of the Board's district would of necessity have to be increased considerably, and the Board would find itself in the same unsatisfactory position as the adjoining Boards of Banks Peninsula and Malvern. Doubtless, once this area is included in the city territorially, there will be a demand for electricity to be supplied by the Christchurch City Council, but we concluded that, notwithstanding the fact that the boundaries of the city were extended to include the Sockburn-Hornby areas, the responsibility for the supply of electricity should remain with the SpringsEllesmere Electric-power Board. The question of electricity supply generally in this particular area is a vexed one. We found that the Christchurch City Council is supplying electricity to the major portion of the Waimairi County, the Avonside and Bromley Ridings of the Heathcote County, and part of the Hillsborough Riding of that county. The City Council also supplies a major portion of the Halswell County. The Heathcote County Council is the supply authority in two of its ridings—Heathcote Valley and Cashmere —while the Riccarton Borough supplies its own district. The supply of electricity by the City Council beyond its territorial area results in the disfranchisement of consumers of electricity in those areas. On the other hand, if effect is given to our decision to include a residential portion of Cashmere Riding in the City of Christchurch, the electricity supply in this area will remain with the Heathcote County Council. Illogical as this may seem, particularly in view of the resultant disfranchisement of the consumers in this area, we are precluded by section 13 (3) of the Local Government Commission Act from transferring the electricity supply in this area to the City of Christchurch. If the Borough of Riccarton had been merged in the city, the supply of electricity would automatically have been transferred to the City Council. The effect of its remaining with the Riccarton Borough Council is that it will be an island area of supply, as it has been since the supply of electricity in the Waimairi County was transferred to the City Council some years ago. Although the electricity supply in Riccarton is being economically administered, we are of the opinion that advantages and further economies would accrue to the metropolitan area generally, and the whole area could be better planned from the technical point of view, if the Christchurch City administered the whole supply. In fact, we are of the opinion that it would be more economic and efficient if the whole of the Christchurch metropolitan area was under the control of one authority for electricity purposes. As we have no jurisdiction in respect of the transfer of the