A Critic of the Proposed Railway.

Mr. George Gould, merchant, of Christchurch, stated that he had been in business for about nine years, and was connected with both steamer companies trading between Lyttelton and the Heathcote River.

The First Railway Station in New Zealand.
Plan of the Ferrymead Station, Christchurch. This station was erected in 1863, and served transport requirements for some years.

He thought the railway undertaking proposed by the Government was injudicious. The cost was too great for the advantages to be derived. There was no difficulty, commercially speaking, in getting goods to and for at present, and supposing the railway to exist, merchants would still use the steamers to save lighterage between the ships and the wharf at Lyttelton, and the breakage caused by the transhipment. The cost of lighterage was 3s. or 4s. per ton. Goods could now be put into the steamer alongside the ship and come direct to the wharves on the river. He considered the mode of communication by private enterprise, which involved no outlay of public money or loan on public credit, and in which the public have the benefit of free competition, would counter-balance all the advantages of rail over steamer communication. The imports and exports of 1855 were 4,200 tons, with a population of 5,300. The present population was 12,000, and the imports and exports 12,000 tons, as estimated by the Collector of Customs. In 1856 about one-sixth of the population was at Kaiapoi and in the pastoral districts, and that proportion seemed likely to increase. Considering that the revenue had to be charged to such a large extent to provide interest and sinking funds for the loan, there would be no large amount available for immigration. He estimated that in 1865 the population would not exceed 20,000, and the trade would be about 24,000 tons. For a trade of 30,000 tons he thought 15s. a ton for railage was too high a charge. It could be done for less by the river. Apart from the facility for passengers, he thought the advantages by rail and steamer were equal for goods carried at the same rate. He had suffered no inconvenience from the Summer Bar since the introduction of steamers. He believed that with a guarantee of 30,000 tons, steamers could carry goods from the page 43 ship's side at Lyttelton to the stores in Christchurch for 10s. a ton. The present high rate arises from there not being adequate demand. There is not sufficient traffic for one steamer to underbid the other. Each has its own supporters. The rate of freight could not be lowered without a guarantee of tonnage.

In reply to questions, Mr. Gould gave figures in support of his opinion that goods could be carried for 10s. a ton. Allowing 4s. 6d. per ton for cartage and delivery (then costing 5s. to 6s. a ton) there would remain 5s. 6d. per ton for the steamer. A steamer to carry 30 tons deadweight, or 45 tons measurement, could be obtained for £2,500. Working expenses would be £23 to £25 a week. Making two trips each way per week, fully loaded, that is 30 tons a trip or 120 tons a week at 5s. 6d. per ton, the earnings would be £33 a week, which would leave a fair margin of profit. It was pointed out by the Provincial Secretary (Mr. John Olliver) that these figures did not provide for wear and tear, depreciation, interest on capital, and insurance. Taking these into consideration, the expenses would be about £150 a month, or £1,800 per year, whereas the estimated earnings (£33 per week) were only £1,716 for a year. Asked whether the steamer could maintain two trips a week throughout the year, Mr. Gould stated that the steamer “Planet” had never been seven days in two years without crossing the Sumner Bar, but he could not say whether she had been able to make an average of two and one-half trips a week. The profits of the steamer “Planet” were 20 per cent, the first year, but freights were then higher. Before the introduction of steamers, freights were 40s. a ton. They were 30s. a ton up to January (1860) and since then 25s. a ton. The shareholders of the Canterbury Steam Navigation Company got no return by way of dividends for the capital invested in the “Planet.” All the gains were spent in repairs. The shareholders who were traders would derive a great advantage from the reduction of freights even if there were no dividends.

The steamer “Avon,” of the Avon Steamship Company, had made only two trips so far. She cost £2,200, and would carry 20 tons dead weight, or 35 tons measurement.

The preference for steamer carriage would only apply to ships lying in the stream. Any arrangement which did away with lightering would, of course, affect the steamer freights. Mostly all the Melbourne and Sydney ships lie alongside the wharves. Produce for parts within New Zealand would be carried in small bottoms which could use the river. He admitted that speed, in the case of root crops, was of the highest importance. The railway would be of great advantage for oversea exports.

Removed To More Convenient Site.
(Photos. C. R. Baker).
Views shewing the Thames station in process of removal to a new site, and the building as it now stands.