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179
1MPROVEMENT IN COSTS.
It will be seen that, notwithstanding .that our costs per
unit were low the previous year, we have been able to improve
upon them for the year under review. It is interesting to note
the almost Continual reduction in the Cost from the commencement
of supply, so now the total cost is very little more than
the coal cost in the early days, as shown oil diagr&m No. 3.
RATES AND TAXES.
The only item which shows an increase this year when
compared with the extra output is one over which we have no
control, viz. Rates and Taxes. The actual money disbursed
under this heading has increased from £1,508 to £2,851, or
£1,343 in excess of last year. Had this item only remained the
same our profit would have been £1,357.
INCREASE IN PRICE OF COAL.
Another cause of extra expense was the higher price we
were compelled to pay for coal, being 7d. per ton increase on
one Contract, and 3d. per ton on another, representing an extra
payment of £193 16s. 3d. on this heading alone. I am sorry
to say that this item will be still higher this year, as coal does
not yet show any tendency to come down in price.
ADDITIONAL EXPENDITURE.
There are two items which were absent from last years
account, viz. two gatekeepers and watchmen at the Electricity
Works entrance, and the establishment of a Publicity Department.
representing an additional expense of £324 6s. gd.
These three items represent a total of £518 3s. 0d.,
quite independent of the extra expense on account of the
larger number of units manufactured. If these items are
deducted:— £ s. d.
518 3 0
Plus extra rates and taxes 1342 13 4
There is a total amount of 1860 16 4 to be taken
from the figure of £21,753 0s. 5d., leaving the total manufacturing
cost £19,892 4s. 1d. compared with £21,034 14s. 10d. less
£516 1s. 2d. for special items=£20,518 13s. 8d. last year on the
same basis.
1905-6 £20,518
1906-7 £19,892
£626
or an actual reduction of £626, in spite of the actual increase
of 570.000 units sold to consumers. £343 of this has been
saved on the general attendance on the Public Lamps.