Western Mail, 9 May, 1913
STATE STEAMERS.
STATEMENT BY MR. MOXON.
When spoken to by a "West Australian"
representative with regard to the State
steamers on Saturday, Mr. W. E. Moxon,
the manager of the Adelaide Steamship
Co.'s affairs in this State, could only be
induced to discuss the subject on caution
that the political side of it was not referred
to, but he had some remarks to make in
so far as the commercial aspect was
concerned. He stated, that when his company
lost the North-West coastal contracts, which
were secured by the State service, it immediately
withdrew its steamer from the North-West trade.
He had at the time explained that the North-West
trade was unprofitable before the s.s. Western
Australia (State service 'flagship')entered into it,
and therefore, as the s.s. Allinga could not be
run at a profit, she was withdrawn, and she was
now profitably employed elsewhere. The company
also had the s.s. Junee running under charter last
year on the coast, but more lucrative employment
being available elsewhere also was transferred.
As the introduction of the Government steamers
took away considerable of the earnings formerly
enjoyed by steamers which took cargo northwards
and stock southwards at the low rates on stock
which obtains for coastwise vessels could only be
quoted when there was sufficient up freight as well
as down freight to make the round voyage possible,
and as there was not sufficient up trade now to
warrant it, obviously tonnage had had to be withdrawn.
This was entirely the business aspect. His company
looked upon the State steamers and any other shipping
venture that attempted to force itself into trade from an
entirely business point of view. His long experience in
the North West trade warranted him in emphatically
stating that the coast did not provide sufficient revenue
to warrant the introduction of a third competitor, and the
result must necessarily be that the introduction of boats
of the Koombana type or any improvement of the existing
type of ship working the coast would be impossible under
pit snit conditions. So far from there being felt any rancorous
feeling or of placing his company against the Government,
Mr. Moxon said that the company did business with the
State service for a part of its requirements, and it had not
any fault to find in connection with its dealings. The writer
of a letter on the subject of State steamers, which was
published in last Friday's issue of the "West Australian,"
asked : "Is it not surprising that as shipping companies
keep an account of every trip as it is completed, and
prepare earnings notes. There should be such murky
obscurity regarding results, which should be apparent
trip by trip? Call for the trip accounts, general public,
and only take the figures from the Auditor-General?"
The attention of Mr. Moxon was drawn to this. He said
that each question should surely not be necessary, for
if entirely separate trip accounts were not kept the
manager could have no indication as to how a particular
venture had turned out, and he could not adjust his rates
for future ventures, or similarly make a reduction in the
event of competition, if he had sufficient margin to do so.
The general manager of every shipping company was
aware how each one of the ships was doing trip by trip,
and there should not be any difficulty in preparing such
a statement as that asked for. In conclusion, Mr. Moxon
remarked : "I do not want on any account the suggestion
to be made that my company is girding at the fact that it
lost the Ñorth-West and South-East mail contracts, as
every ton of shipping belonging to us is busily employed,
and it is perfectly true that, except under profitable conditions,
any company is far better without a mail contract, as the latter
carries heavy responsibilities. The contractors are liable to a
fine of £5 per hour if the mail steamer should run late and a
satisfactory explanation is not given."
A scathing, angry attack on the 'blundering' State Shipping Service. Was this the truth of the matter or was their incompetence exaggerated? We shall see,...
courtesy Trove.
courtesy Trove.