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Victorian Railways 1962 VICTORIA VICTORIAN RAILWAYS REPORT OF THE VICTORIAN RAILWAYS COMMISSIONERS FOR THE YEAR ENDED 30th JUNE, 1962 PRESENTED TO BOTH HOUSES OF PARLIAMENT PURSUANT TO ACT 7 ELIZABETH 11. No. 6355 By Authority.· A. C. BROOKS, GOVER~MENT PRINTER, MELBOURNE. No. 16.-[5s.].-10866/62. CONTENTS PAGJ! COMMISSIONERS' REPORT 1 HEADS OF BRANCHES 20 APPENDICES-­ APPENDIX Balance-sheet I 22 Financial Results (Totals), Summary of 2 24 Financial Results (Details), Summary of 2A 25 Reconciliation of Railway and Treasury Figures (Revenue and Working Expenses), 3 26 Working Expenses, Abstract of 4 27 Working Expenses and Earnings, Comparative Analysis of 5 .28 Total Cost of Each Line and of Rolling Stock, &c. 6 30 General Comparative Statement for Last Fifteen Years 7 :l6 Statistics : Passengers, Goods Traffic, &c. 8 39 Mileage : Train, Locomotive, and Vehicle 9 40 Salaries and Wages, Total Amount Paid 10 42 Staff Employed in Years Ended 30th June, 1962 and 1961 ll 43 Locomotives, Coaching Stock, Goods and Service Stock on Books 12 44 Railway Accident and Fire Insurance Fund ... 13 47 New Lines Opened for Traffic or Under Construction, &c. 14 48 Mileage of Railways and Tracks 15 4fl Railways Stores Suspense Account 16 50 Railway Renewals and Replacements Fund 17 50 Depreciation~Provision and Accrual 18 50 Capital Expenditure in Years Ended 30th June, 1962 and 1961 19 51 Passenger Traffic and Revenue, Analysis of ... 20 52 Goods and Live Stock Traffic and Revenue, Analysis of 21 58 Traffic at Each Station 22 54 "Spirit of Progress" (right), on standard gauge line, overtaking the Albury-Melbourne Express. REPORT OF THE VICTORIAN RAILWAYS COMMISSIONERS FOR THE YEAR ENDED 30TH JUNE, 1962 VICTORIAN RAILWAYS Commissioners' Office, Spencer Street, Melbourne, C.l. 23rd November, 1962 To the Honourable the Minister of Transport : Sir, We have the honour to submit our Report for the year ended 30th June, 1962. Railway history was made during the year with the opening of the standard gauge line from Melbourne to Albury which made it possible to operate direct train services between Melbourne and Sydney. Full details of the historic occasion are set out later in this Report. Operating results are regarded as satisfactory when all factors are taken into consideration. Total revenue earned was £42,609,086, a decrease of £428,360 compared with last year's record. ·working expenses, at £42,979,531, were £1,275,705 higher, so that working expenses exceeded revenue by £370,445. However, adjustment on the basis used by the Treasury of regarding as revenue the income actually received during the year shows an excess of income over working expenses of £3,658. This amount has been transferred to the Railway Equalization Account, which now stands at £924,005. Receipts were undoubtedly affected by the influence on many sections of industry of the prevailing economic conditions, because the items showing the greatest decreases in loadings were basic commodities such as iron and steel, brown coal, briquettes and timber. There was also a sharp drop in the number of motor cars and bodies carried during the first half of the year. This traffic gradually recovered from February on­ wards. The effect of reduced loadings in the items mentioned was partly offset by a substantial increase in Forwarding Agents' traffic, attributable to the opening of the Melbourne-Albury standard gauge line, and by increased consignments of super­ phosphate totalling 699,553 tons, which is a record for this type of traffic. 2 Despite the substantially lower wheat harvest yield by companson with last year's record, the wheat traffic carried in 1961-62, because of the carry-over, was only 376 tons less than the previous year's record tonnage of 1,901,966. Because of the longer average haul, the revenue from the carriage of wheat was actually £154,681 higher than in 1960-61. Due to the effect on harvesting of the unusually dry seasonal conditions, the heaviest portion of the wheat lift coincided with the Christmas passenger traffic, and exceptional demands were therefore made on our resources of staff and locomotive power. However, the efficiency with which the traffic was handled evoked expressions of appreciation from the Grain Elevators Board and producers' organizations. The major contributing factor to the large increase in working expenses was the 12/- per week rise in the basic wage awarded by the Commonwealth Conciliation and Arbitration Commission from 9th July, 1961, the cost of which was in the vicinity of £1,050,000 for the year. Having regard to the fact that, in addition, payment of service grants and retiring gratuities alone cost £525,000 more than in 1960-61, when the schemes were in operation for less than half the year, it will readily be appreciated that strict measures were necessary in other directions to achieve economies. By far the most noteworthy operational development for the year was, of course, the opening of the North-Eastern standard gauge line, and the resultant stimulus to inter­ system traffic. A further development which has, in some measure, extended the benefits of standard gauge operation to traffic between Melbourne and South Australia is the bogie exchange system recently introduced at Dynon. This enables the bogies of loaded freight vehicles of up to 50 tons capacity to be changed from standard gauge to 5' 3" gauge, or vice versa, in a fraction of the time that would otherwise be occupied in trans­ ferring the load to a vehicle of the other gauge. The elimination of the handling of goods under this arrangement also, of course, reduces the risk of damage. Freight handling was further facilitated by the purchase of additional mobile cranes, fork-lift trucks and shunting tractors. In addition, a project is in hand for the reorganization of certain sections of the Melbourne Goods Sheds to improve loading and unloading facilities. The results of operating the railways and our road motor services, as shown in the Treasury books, were :- £ s. d . GROSS INCOME ... 42,983,189 14 6 WORKING EXPENSES CHARGED AGAINST INCOME ... 42,979,530 17 5 NET SURPLUS APPROPRIATED TO RAILWAY EQUALIZATION ACCOUNT 3,658 17 The revenue actually earned for the year was £42,609,086, the difference between that amount and the Income total of £42,983,190 (£374,104) representing a reduction in the amount owed by Sundry Debtors at the close of the year, as compared with 1960-61. On the railway basis of accounting, there was a deficit of £370,445 compared with a surplus of £1,333,620 in the previous year-a decline of £1,704,065. This was brought about as under £ Decrease in Earnings 428,360 Increase in Working Expenses I ,275,705 Retrogression 1,704,065 3 The revenue decrease was due to the following fluctuations :- Decreases: £ £ Parcels 20,000 Goods 779,000 Livestock 69,000 Dining Cars 6,000 Advertising 6,000 Road Motor Services 2,000 882,000 Increases : Passengers--Suburban 121,000 Country 226,000 Mails 18,000 Rentals 60,000 Refreshment Room Services 17,000 Bookstalls 8,000 Kerang--Koondrook Recoup 4,000 454,000 Approximate Net Decrease 428,000 Working Expenses totalled £42,979,531, an increase of £1,275,705 by com­ parison with 1960-61. The increase was brought about by the following factors :- Increases : £ £ Full year effect of various Awards made in the year 1960-61 50,000 Basic wage increase from 9/7/61 1,050,000 Service Grants and Retiring Gratuities 525,000 Superannuation and Pensions 131 ,000 Long Service Leave Payments 65,000 Railway Accident and Fire Insurance Fund . 21 ,000 Additional Payroll Tox 56,000 Cost of full restoration of Sunday services . 398,000 Repayment of principal and interest to Commonwealth Govern- ment under the Albury--Melbourne Uniform Gauge Agreement 51,000 2,347,000 Decreases: Reduced maintenance expenditure on rolling stock, way, works, etc. 1,039,000 Increased credits from Capital and other Fund Works 22,000 Reduced Inter-Branch charges to Stores Branch 10,000 1,071,000 Approximate Net Increase : 1,276,000 The depreciation on assets for this year was £2,905,372. LOAN EXPENDITURE The amount of Loan Funds allotted by the Treasury for expenditure during the year, together with Commonwealth State Grants (Additional Assistance of £400,000) was £8,064,373, which was expended as follows :- £ Additions and improvements to way and works ... 4,188,783 Rolling stock, equipment, machinery and other works 219,694 Construction of new lines, etc. 250,975 Replacement (rehabilitation) Works 3,404,921 8,064,373 4 A further £4,808,289 was expended on the construction of the standard gauge line between Albury and Melbourne. From the commencement of the work in November, 1957, to 30th June, 1962, the total amount expended on this project was £15,454,44 7. The amount to be repaid by Victoria to the Commonwealth Government over fifty years is £2,172,791 plus interest as provided for in the Standardization Agreement. The amount repaid to 30/ 6/ 62 was £56,465 principal and £142,109 interest. NON-PAYING LINES AND SERVICES Owing to paucity of traffic, the Kerang-Murrabit line was permanently closed from 20th December, 1961. NORTH-EASTERN LINE STANDARD GAUGE PROJECT The standard gauge line from M elbourne to Albury was opened for goods traffic on 3rd January, 1962. Coinciding with the arrival of the first goods train from Sydney, a commemo­ rative ceremony was held at Dynon Goods Depot in the presence of Cabinet Ministers and other members of State Parliament, Heads of Government Departments and repre­ sentatives of a wide range of private business, manufacturing and transport organizations .
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