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29 1924

RAILWAYS ACT, 1924

PART III.

Railway Charges.

Existing charges.

24. —The charges of the amalgamating and absorbed companies in force on the 3rd day of April, 1924, shall remain in force as maximum charges unless and until altered in accordance with this Part of this Act.

Preliminary revision.

25. —The railway tribunal shall, at a date not later than three months after the passing of this Act, review the existing charges of the amalgamating and absorbed companies with a view to the modification of such charges or any of them having regard to the circumstances under which increased charges were authorised as from the 1st day of September, 1920, and to any changes in those circumstances, including any reduction in working expenses since that date, and shall appoint a day when any modifications so determined shall come into operation.

Classification of Merchandise.

Classification.

26. —The railway tribunal shall consider and, after hearing all parties interested and who are desirous of being heard, shall determine the classification of merchandise applicable to the amalgamated company and shall have power to divide the classification into such number of classes containing such descriptions of merchandise as they think fit, and in determining the class in which any particular merchandise shall be placed they shall, in addition to all other relevant circumstances, have regard to the value, the bulk in comparison to weight, the risk of damage, and the cost of handling such merchandise, and the saving of cost which may result when such merchandise is forwarded in large quantities.

Standard Charges.

Submission of schedules.

27. —(1) The amalgamated company shall submit to the railway tribunal not later than the 31st day of December, 1925, or such later date as the Minister may allow, schedules of the standard charges proposed to be made according to the classification fixed as aforesaid, and shall (except as hereinafter provided), show the rates for the conveyance of merchandise, the amount of terminal charges, and the fares for the conveyance of passengers and their luggage, and every such schedule shall be published in such manner as the railway tribunal may direct.

(2) The schedules so submitted shall be divided into the parts and be in the form mentioned in the Fifth Schedule to this Act or into such other parts or in such other similar forms as the railway tribunal may prescribe.

Settlement of schedules.

28. —The railway tribunal shall consider the schedules of proposed standard charges so submitted to them and any objections thereto which may be lodged within the prescribed time and in the prescribed manner, and, after hearing all parties interested and who are desirous of being heard shall, in accordance with the provisions hereinafter contained, settle the said schedules and fix the date of the appointed day on which the same are to come into operation.

Obligation to charge standard charges.

29. —(1) On and from the appointed day the charges appearing in a schedule of standard charges as fixed by the railway tribunal for the amalgamated company shall be the charges which the said company shall be entitled to make for all services rendered in respect of which charges are fixed, and no variation either upwards or downwards shall be made from such authorised charges unless by way of an exceptional rate or an exceptional fare continued, granted, or fixed under the provisions of this Part of this Act, or in respect of competitive traffic in accordance therewith.

(2) The railway tribunal shall have power on any representations made to them, whether by the amalgamated company when submitting the schedules of standard charges proposed to be made, or by any party interested, or by the Minister at any time to determine the amount which the amalgamated company shall contribute to and receive out of any through rate or fare.

Protection of ports.

30. —(1) All the terms, conditions and provisions of any statutory enactment or any agreement confirmed by or scheduled to a statutory enactment which, at the passing of this Act, are in force and binding on any amalgamating or absorbed company, by which the forwarding of traffic is affected, or for any other purpose, shall continue in full force and effect, save in so far as the same are rescinded or varied by this Act; but no such statutory enactment or agreement shall be construed as affecting or extending to any part of the railway of the amalgamated company or the traffic thereon which was not at the passing of this Act subject to or affected by such statutory enactment or agreement.

(2) Subject to the provisions of this Act the amalgamated company shall not by the rates or fares charged, whether through or local, or by the facilities provided or the accommodation afforded by it, or otherwise, place any one port in Saorstát Eireann at an undue disadvantage as compared with any other port in Saorstát Eireann to, from, or through which traffic is or may be carried.

(3) The amalgamated company shall if required by any person interested use all proper endeavours to provide a reasonable system of through booking with through rates, fares and facilities by all reasonable routes.

(4) No rebates, commissions, or agency or other allowances shall be given by the amalgamated company to traders at or using any port in Saorstát Eireann which are not given by the company in similar circumstances to traders at or using any other port in Saorstát Eireann, and the word “traders” shall include any incorporated railway or steamship company.

(5) If any dispute shall at any time arise under the provisions of this section or as to any matter or thing under this section, or as to whether the amalgamated company are fulfilling their obligations hereunder or taking all reasonable or necessary steps for that purpose, the same shall from time to time be referred to and determined by the railway tribunal.

Charges of non-amalgamated companies.

31. —The rates, fares, tolls and dues charged by railway companies other than the amalgamating and absorbed companies at the passing of this Act shall, in so far as they relate to those portions of their undertakings situate in Saorstát Eireann, remain in force as maximum charges unless and until altered in accordance with this section:

Provided that at any time after the passing of this Act—

(i) any representative body of railway users may apply to the railway tribunal to reduce the aforesaid charges or any of them;

(ii) any trader interested in any particular charge may apply to the railway tribunal to reduce that charge;

(iii) any such company may apply to the railway tribunal to increase the aforesaid charges or any of them;

(iv) any amalgamating or absorbed company or the amalgamated company or any representative body of traders or a body of persons representative of trade or a locality may apply to the railway tribunal to modify any reduction made by any such company in the aforesaid charges or any of them otherwise than under an order of the railway tribunal.

Any such application shall be published in such a manner as the railway tribunal prescribe and the tribunal after hearing all parties interested and who are desirous of being heard may make such modifications in the said charges or any of them as to the tribunal may seem just, and shall fix a day upon which the modifications are to come into force.

Repeal of existing provisions.

32. —As from the appointed day all statutory provisions, and the provisions of all agreements with respect to classification of merchandise and with respect to charges for or in connection with the carriage of merchandise or passengers by the amalgamated company, shall to the extent to which those provisions relate to the matters aforesaid be repealed and cease to be operative, except so far as any statutory provision authorises for the purpose of calculation of distance a special mileage to be allotted in respect of any portion of the railway of the amalgamated company and except so far as, in the case of any such agreement or in the case of a statutory provision fixing a special charge, it may be continued under the provisions of this Part of this Act or by an order of the railway tribunal.

Subsequent modifications of standard charges.

33. —The amalgamated company or any representative body of traders or any person who may obtain a certificate from the Minister that he is a proper person for the purpose, shall be entitled at any time to apply to the railway tribunal to modify the standard charges or any of them or any conditions relative thereto, and, if such company or body of traders or person, as the case may be, prove to the satisfaction of the railway tribunal that the standard charges or conditions or any of them ought to be modified, the tribunal shall make such modifications as they think fit, and shall fix the date as from which the modified standard charges or conditions shall be effective:

Provided that sub-sections (3), (4), (5), and (6) of section 54 of this Act shall apply to any application for a general revision or variation of standard charges of the amalgamated company under this section, as if such application were a review of standard charges and exceptional charges under that section.

Exceptional Charges.

Provisions as to existing exceptional rates.

34. —(1) On and from the appointed day all exceptional rates in operation immediately before the appointed day on the railway of the amalgamated company shall cease to operate, with the exception of such exceptional rates as—

(a) are not less than five per cent. below the standard rates which would otherwise on and from the appointed day become chargeable; and

(b) have been continued by agreement in writing between the railway company and the trader concerned, or, failing agreement, have been notified in writing to the secretary of the railway company by the trader with a request that they should be referred to the railway tribunal for determination by them, in which case the rates shall continue until determined by the railway tribunal, and the onus of proving that any such rates should be altered or discontinued shall be upon the railway company;

so nevertheless that no rate which has not been applied to the charging of merchandise actually forwarded within the two years preceding the 1st day of January, 1926, shall be continued unless the trader can prove to the satisfaction of the railway company, or, failing agreement with the railway company, to the satisfaction of the railway tribunal—

(i) that its non-application is solely due to abnormal conditions of trade; or

(ii) that a rate of equal amount to the same destination remains in operation at other stations or sidings in the same group or area:

Provided that, if the trader and the railway company agree to continue any rate which will be more than forty per cent. below the standard rate chargeable as aforesaid, the rate shall, before the appointed day, be referred to the railway tribunal, and, if so referred, shall continue until the tribunal have determined the matter.

(2) Any such agreement or determination may provide for the continuance of any exceptional rate for a specified period of time and at the same or any higher figure or charge, not being, in the case of an agreement between the amalgamated company and a trader, less than five per cent. nor more than forty per cent. below the standard rate chargeable.

New exceptional rates.

35. —(1) On and after the appointed day the amalgamated company shall be at liberty to grant new exceptional rates in respect of the carriage of any merchandise, which rates shall within fourteen days, or such longer period as the Minister may allow, be reported to the Minister; so, however, that a new exceptional rate so granted shall not, without the consent of the railway tribunal, be less than five per cent. or more than forty per cent. below the standard rate chargeable.

(2) If the Minister is of opinion that the amalgamated company is granting new exceptional rates in such manner as prejudicially to affect any class of users of the railway not benefited by such rates, or so as to jeopardise the realisation of the standard revenue of the company, he may refer the matter to the railway tribunal, who may, after giving all parties interested an opportunity of being heard, take either or both of the following courses:—

(a) revise the standard charges;

(b) cancel or modify all or any of such exceptional rates.

(3) Any trader may, at any time, apply to the railway tribunal, to fix a new exceptional rate.

Variation of exceptional rates.

36. —(1) The amalgamated company shall not be entitled to increase or cancel any exceptional rate which has been fixed by the railway tribunal without first obtaining the sanction of that tribunal.

(2) The amalgamated company may, at any time, reduce any exceptional rate, so, however, that the rate shall not, without the consent of the railway tribunal, be reduced so as to be more than forty per cent. below the standard rate which would be chargeable, but any such reduction shall be reported to the Minister in like manner as if it were the grant of a new exceptional rate.

(3) The amalgamated company may, at any time, increase any exceptional rate which has not been fixed by the railway tribunal on giving thirty days' notice in such manner as the tribunal may prescribe of the proposed increase, and on the expiration of such notice may, if no objection be raised by any trader interested forthwith bring the increased rate into force, provided that it is not less than five per cent. below the standard rate chargeable, but, if such an objection be raised or if the rate when increased would be less than five per cent. below the standard rate chargeable, the increase shall not have effect unless and until the railway tribunal, after giving the company an opportunity of being heard, so determine:

Provided that no trader shall be entitled to object to an increase of an exceptional rate reduced by the amalgamated company since the appointed day unless the effect of the increase is to make the rate applicable to his traffic higher than the rate applicable thereto immediately before the reduction.

(4) The amalgamated company may, at any time, cancel any exceptional rate which has not been fixed by the railway tribunal on giving thirty days” notice in such manner as the railway tribunal may prescribe of the proposed cancellation, and on the expiration of such notice may, if no objection be raised by any trader interested, forthwith cancel the rate as proposed, but, if any such objection be raised, the cancellation shall not have effect unless and until the railway tribunal, after giving the company an opportunity of being heard, so determine:

Provided that no trader shall be entitled to object to the cancellation of an exceptional rate granted by the amalgamated company since the appointed day unless the effect of the cancellation is to make the rate applicable to his traffic higher than the rate applicable thereto at the date when the exceptional rate was granted.

(5) No such increase or cancellation shall take effect in the case of any exceptional rate referred to the railway tribunal under paragraph (b) of sub-section (1) of section 34 of this Act pending the decision of the tribunal with reference thereto, and any exceptional rate agreed under the said section 34 shall not be increased or cancelled for a period of twelve months after the appointed day except as part of a general increase under this part of this Act or to abate an undue preference.

(6) Any trader or representative body of traders interested in the rate, or the amalgamated company, shall be entitled to apply to the railway tribunal at any time to cancel or vary any exceptional rate.

(7) The amalgamated company may cancel any exceptional rate existing after the appointed day, which for a period of two years shall not have been applied to the charging of merchandise actually forwarded by the railway.

Review of competitive exceptional rates.

37. —If it should appear to the Minister or if representations amounting to a prima facie case to the satisfaction of the Minister are made to him by any body of persons which in the opinion of the Minister has a substantial interest in the conveyance of traffic by way of shipping services or inland navigation, to the effect that exceptional rates are being charged by the amalgamated company which by reason of their effect on such conveyance are detrimental to the public interest, the Minister shall refer the matter to the railway tribunal for review, and the railway tribunal may, after hearing all parties whose interests are affected, vary or cancel such rates or make such other order as may seem to them expedient.

Disintegration of exceptional rates.

38. —(1) Where application is made to the railway tribunal to fix or sanction any exceptional rate for the carriage of merchandise between two stations, or between a station and a siding, or between two sidings, or between either a station or a siding and a junction, the railway tribunal in fixing or sanctioning the exceptional rate shall determine the amounts (if any) to be included in the rate for the following services:—

(a) conveyance;

(b) station terminals;

(c) service terminals;

(d) accommodation provided and services rendered at or in connection with a private siding.

(2) Where the amalgamated company grants an exceptional rate for the carriage of merchandise between two stations or between a station and a siding, or between two sidings, or between either a station or a siding and a junction, without reference to the railway tribunal, and the company shows in the quotation for the rate and in the rate book the amount (if any) included therein for such several services as aforesaid, the disintegration of the exceptional rate as so shown shall be conclusive unless a trader interested in the rate complains that the amount allocated to any particular service is unreasonable, in which event the onus of proof shall be on the amalgamated company.

(3) Where the amalgamated company in granting such an exceptional rate has not distinguished in the quotation for the rate or in the rate book the amounts included therein for such several services as aforesaid—

(a) the rate in the case of a station-to-station rate shall be deemed to be composed of conveyance rate and terminal charges in proportion to the amounts included in the corresponding standard rate for the same service and accommodation in respect of similar goods between the same stations; and

(b) in the case of any other rate, the company shall, within fourteen days after application in writing by any person interested in the disintegration of the rate, afford that person information of the amounts (if any) included in the rate for the several services aforesaid.

(4) Any dispute as to the disintegration of any such exceptional rate shall be determined by the railway tribunal at the instance of either a trader or the amalgamated company.

(5) For the purposes of determining any question of an alleged undue or unreasonable preference or advantage, the railway tribunal shall not have regard to the separate component parts of any rate as shown in the rate book or as determined by this section, but shall, unless in any case in which an application has been made for the purpose it is proved to the satisfaction of the railway tribunal that a consideration of the component parts of the rate would be fair and reasonable, determine the question in reference to the total rate for carriage applicable to the merchandise in respect of which such undue or unreasonable preference or advantage is alleged to arise and the conditions under which the rate applies.

Exceptional fares.

39. —(1) The amalgamated company may charge fares below the standard fares in such circumstances as the company may think fit, but the circumstances in which such exceptional fares, if below ordinary fares, may be charged and the amount of reduction below the standard fare, shall be reported to the Minister within fourteen days, or such longer period as the Minister may allow, after the decision has been arrived at.

(2) If the Minister is of opinion that the amalgamated company has granted exceptional fares in such a manner as prejudicially to affect any other class of users of the railway, or so as to jeopardise the realisation of the standard revenue of the company, he may refer the matter to the railway tribunal, who may, after giving the parties interested an opportunity of being heard, cancel or modify all or any of the exceptional fares so granted.

Conditions of Carriage.

Submission of proposed conditions.

40. —Within six months from the passing of this Act, or within such further time as the railway tribunal may permit, the amalgamating companies shall submit to, and publish in such manner as may be prescribed by the railway tribunal—

(a) the terms and conditions (hereinafter called “company's risk conditions”) on and subject to which merchandise other than live stock, and live stock, will respectively be carried if carried at ordinary rates;

(b) the terms and conditions (hereinafter called “owner's risk conditions”) on and subject to which merchandise other than live stock, and subject as hereinafter provided, live stock, will respectively be carried if carried at owner's risk rates;

(c) the terms and conditions on and subject to which damageable goods not properly protected by packing will be carried.

Settlement by tribunal.

41. —(1) The railway tribunal shall consider the terms and conditions so submitted, or, if terms and conditions are not so submitted within the time so allowed, shall themselves prepare and publish provisional terms and conditions, and after hearing any representative body of traders who may desire to be heard, and any other party whom the Minister considers entitled to be heard, shall settle, and when settled publish in the Iris Oifigiúil, the terms and conditions which they consider just and reasonable, and shall fix a date not earlier than two months after such publication upon which those terms and conditions are to come into force.

(2) When the terms and conditions so settled come into force they shall be the standard terms and conditions of carriage for the amalgamated company, and shall be deemed to be reasonable.

Conditions on which merchandise is to be carried.

42. —(1) On and after the date so fixed as aforesaid the terms and conditions upon and subject to which merchandise is, apart from special contract, to be carried by the amalgamated company shall be company's risk conditions, and those conditions shall apply without any special contract in writing to the carriage of merchandise at ordinary rates:

Provided that, in any case where an owner's risk rate is in operation and the company has been requested in writing to carry at that rate, the terms and conditions upon and subject to which such goods shall be carried shall be owner's risk conditions.

(2) The terms and conditions upon and subject to which damageable goods not properly protected by packing (if accepted for carriage) shall be carried by the amalgamated company, shall be the conditions settled by the railway tribunal as aforesaid, but the company shall not be under any obligation to carry damageable goods not properly protected by packing.

(3) Nothing in this Act shall preclude the company and a trader from agreeing in writing, subject to the provisions of the Railway and Canal Traffic Acts, 1854 and 1888, to any terms and conditions they think fit for the carriage of merchandise, live stock or damageable goods not properly protected by packing, or dangerous goods.

Alteration of conditions.

43. —At any time after the date when the terms and conditions so settled as aforesaid come into force the amalgamated company or any representative body of traders may apply to the railway tribunal to amend, alter or add to those terms and conditions, and the tribunal may, after hearing all parties whom they consider entitled to be heard, make such amendments, alterations, or additions of or to such terms and conditions as the railway tribunal think just and reasonable, and fix a date as from which they are to come into operation.

Miscellaneous Provisions as to Charges.

Owner's risk rates.

44. —(1) When settling a schedule of charges, or within twelve months or such longer period thereafter as in any case the Minister may allow, the railway tribunal shall determine what reductions shall be made from the standard charges where damageable merchandise is carried by the amalgamated company under owner's risk conditions, and such reductions shall be shown or indicated in the schedule in such manner as the railway tribunal prescribes.

(2) Where an exceptional rate is in operation and the conditions applicable to that rate are company's risk conditions, or, as the case may be, owner's risk conditions, and the difference in the company's liability under the two sets of conditions in respect of the merchandise in question is not insignificant, the amalgamated company shall, on request in writing by a trader, quote a corresponding rate under the other conditions, and, if within twenty-eight days from such request the company fails to quote such a rate to the satisfaction of the trader, the trader may apply to the railway tribunal, and the railway tribunal shall settle such corresponding rate and determine the date as from which it is to come into operation.

(3) The difference between an ordinary rate and an owner's risk rate shall be such as in the opinion of the railway tribunal is fairly equivalent to the amount by which the risk of the company in the case of the merchandise in question differs under the two sets of conditions.

(4) The amalgamated company shall be under no obligation to carry livestock at owner's risk rates in cases in which livestock is not at the date of the passing of this Act carried at reduced rates under owner's risk conditions.

Minimum charges.

45. —The amalgamated company shall be entitled to charge for the conveyance of merchandise as for a minimum distance of such number of miles as the railway tribunal may determine, or such minimum sum as the railway tribunal may determine, but such minimum distances shall not vary according to whether charges for station terminals are or are not made.

Collection and delivery charges.

46. —(1) On and after the appointed day the amalgamated company may collect and deliver by road any merchandise which is to be or has been carried by railway and may make reasonable charges therefor in addition to the charges for carriage by railway, and shall publish in the rate book kept at the station where it undertakes the services of collection and delivery the charges in force for the collection and delivery of merchandise ordinarily collected and delivered.

(2) The amalgamated company may, and upon being required to do so and upon payment of the proper charges shall, at any place where the company holds itself out to collect and deliver merchandise, perform the services of collection and delivery in respect of such merchandise as is for the time being ordinarily collected and delivered by the company at that place:

Provided that the company shall not be required to make delivery to any person who is unwilling to enter into an agreement, terminable by him on reasonable notice, for the delivery by the company at the charges included in the rate book of the whole of his traffic, or the whole of his perishable traffic, from the station at which those charges apply.

(3) Where any person does not so agree, the company shall not be required to deliver any of his merchandise, but, if such person fails to take delivery of any merchandise within a reasonable time, the company may deliver such merchandise and make such reasonable charges therefor as it thinks fit.

(4) Any dispute as to whether or not any charge for the services of collection and delivery is reasonable, or whether the length of notice for the termination of an agreement under this section is reasonable, shall be determined by the railway tribunal.

Dangerous goods.

47. —(1) Nothing contained in this Act shall impose any obligation on the amalgamated company to accept dangerous goods for conveyance, or shall prejudice or derogate from the powers of any Government department under the Explosives Act, 1875, or affect the validity or operation of any order, rule, or byelaw made under the powers contained in that Act.

(2) If on or after the appointed day the amalgamated company accepts dangerous goods for conveyance, the goods shall be conveyed subject to such byelaws, regulations and conditions as the company may think fit to make in regard to the conveyance or storage thereof, and the owner or consignor of such goods shall indemnify the company from and against all loss or damage which may result to the company or to which the company may be or become liable owing to non-compliance with the before-mentioned byelaws, regulations, and conditions as to such goods and shall pay full compensation for all injury to the company's servants and damage to its property so arising unless it be proved that the injury or damage is due to the wilful misconduct of the company's servants, but, subject as aforesaid, the provisions of this Part of this Act as to ordinary rates and owner's risk rates shall apply.

(3) Any question as to whether goods are dangerous goods shall be determined by the railway tribunal:

Provided that, where the amalgamated company has declared any article to be dangerous, it shall lie on the person requiring the article to be carried to show that it is not dangerous.

Publication of schedules of standard charges, etc.

48. —(1) The schedules of standard charges and the standard terms and conditions of carriage when settled in accordance with the provisions of this Part of this Act, and any orders of the railway tribunal modifying standard charges or standard terms and conditions shall be printed, numbered, published, and sold, and may be cited in the like manner as statutory rules are for the time being required by law to be printed, numbered, published, and sold, and permitted to be cited.

(2) Printed copies of the general classification of merchandise and schedule of standard charges for the time being in force shall be kept for sale by the amalgamated company at such places and at such reasonable prices as the Minister may direct

(3) On and after the appointed day the amalgamated company shall keep for public inspection at each station at which merchandise is received for conveyance, or where merchandise is received for conveyance at some other place than a station, then, at the station nearest to such place, a copy of the general classification of merchandise carried on the railway and a book or books stating—

(i) the chargeable distance from that station or place of every place to which they book, and such distance shall be the actual shortest distance with any additions authorised by statute:

(ii) the scales of standard charges applicable to each class of merchandise conveyed on the railway;

(iii) all exceptional rates in operation from such station or place;

(iv) any charges in force for the collection and delivery of merchandise at such station or place.

The general classification of merchandise and every such book shall, during all reasonable hours, be open to the inspection of any person without the payment of any fee.

(4) On and after the appointed day the amalgamated company shall for a period of ten years keep open for inspection at its head office, the books, schedules, or other papers specifying the rates, charges, and conditions of transport in use on the 1st day of January, 1916, upon the several railways owned or worked by the amalgamating and absorbed companies, and shall, upon demand and upon payment of a reasonable charge, supply copies of or extracts from such books, schedules and papers.

(5) If the amalgamated company fails to comply with the provisions of this section it shall, for each offence, and in the case of a continuing offence for every day during which the offence continues, be liable on summary conviction to a fine not exceeding, five pounds.

Miscellaneous provisions as to rates.

49. —The provisions contained in the Sixth Schedule to this Act (being provisions similar to those now contained in the various railway rates and charges orders) shall, as from the appointed day, apply to the amalgamated company.

Additional functions of railway tribunal.

50. —The railway tribunal shall, in addition to any other powers conferred upon it under this Part of this Act, have power to determine after hearing all parties interested and desirous of being heard any questions that may be brought before it in regard to the following matters:—

(a) the alteration of the classification of merchandise, or the alteration of the classification of any article, or the classification of any article not at the time classified, or any question as to the class in which any article is classified;

(b) the institution, variation, or cancellation of through rates;

(c) the institution of new, and the continuance, modification, or cancellation of existing group rates;

(d) the variation of any toll payable by a trader;

(e) the amount to be allowed for any terminal services not performed at a station, or for accommodation and services in connection with a private siding not provided or performed at that siding;

(f) the reasonableness or otherwise of any charge made by the amalgamated company for any services or accommodation for which no authorised charge is applicable;

(g) the reasonableness or otherwise of any conditions as to packing of articles specially liable to damage in transit or liable to cause damage to other merchandise;

(h) the articles and things that may be conveyed as passengers' luggage;

(i) the constitution of local joint committees representing traders and the amalgamated company and their functions and the centres at which they are to be established.

Amendments of certain Acts.

51. —(1) As from the appointed day the Acts mentioned in the Seventh Schedule to this Act shall, in their application to the amalgamated company, have effect subject to the amendments specified in the third column of that schedule.

(2) Where any existing special Act relating to any amalgamating or absorbed company does not incorporate a section of any of the Railways Clauses Acts which is amended or repealed by the said schedule but contains provisions corresponding to such section, the like amendment or repeal shall be made of such corresponding provision as is made by the said schedule of the section of the Railways Clauses Act.

(3) For the purpose of the application of sub-section (5) of section 1 and section 2 of the Harbours, Docks and Piers (Temporary Increase of Charges) Act, 1920, to the Orders specified in the Third Schedule to the Statutory Undertakings (Continuance of Charges) (No. 2) Act, 1923 (No. 16 of 1923), pursuant to sub-section (2) of section 3 of the last-mentioned Act, but for no other purpose, the said sub-section (5) of section 1 and section 2 of the first-mentioned Act shall be modified as follows, that is to say:—

(a) the railway tribunal shall be substituted for the rates advisory committee;

(b) a committee consisting of such of the permanent members of the railway tribunal as the railway tribunal with the approval of the Minister shall nominate, such and so many members of the general panel established under Part II of this Act as the Minister shall nominate, and such members (equal in number to the members of the general panel so nominated) of the railway and canal panel established under Part II of this Act as the Minister shall nominate, shall be substituted for the sub-committee mentioned in the said section 2.

Interpretation of expressions used in Part III.

52. —In this Part of this Act—

the word “charges” includes rates, fares, tolls, dues, and other charges;

the word “rates” means rates and other charges in connection with the carriage of merchandise;

the word “fares” means fares and other charges in connection with the conveyance of passengers and their luggage;

the word “modifications” in relation to charges includes modifications whether by way of decrease or of increase, and the word “modify” and other cognate words shall be construed accordingly;

the word “merchandise” includes goods, minerals, live-stock, and animals of all descriptions;

the expression “exceptional charges” means charges below the standard charges, and includes special charges continued subject to adjustment under the provisions of this Part of this Act, and the expressions “exceptional rates” and “exceptional fares” shall be construed accordingly;

the word “conditions” includes regulations;

the expression “railway rates and charges orders” means provisional orders fixing maximum rates and charges applicable to a railway company and made and confirmed by the United Kingdom Parliament in pursuance of section 24 of the Railway and Canal Traffic Act, 1888;

the expression “the appointed day” means the day fixed by the railway tribunal as the appointed day on which the schedules of standard charges settled by them are to come into operation;

the expression “standard charges” means the charges fixed by the schedules of standard charges settled by the railway tribunal under this Part of this Act;

the word “prescribed” means prescribed by the railway tribunal.

Adjustment of Charges to Revenue.

Adjustment of charges to revenue.

53. —(1) The standard charges to be fixed in the first instance for the amalgamated company shall be such as will, together with the other sources of revenue, in the opinion of the railway tribunal, so far as practicable yield, with efficient and economical working and management, an annual net revenue (hereinafter referred to as the standard revenue) equivalent to the average annual aggregate net revenue for the three years of account ended next before the 1st day of January, 1914, of the amalgamating companies and the absorbed companies, together with—

(a) a sum equal to five per cent. on capital expenditure forming the basis on which interest was allowed at the end of the period during which the amalgamating and absorbed companies were in the possession of the British Government; and

(b) such allowance as may be necessary to remunerate adequately any additional capital which may have been raised or provided in respect of expenditure on capital account incurred since the 1st day of January, 1913, and not included in the expenditure referred to in the last preceding paragraph, unless it can be shown that such expenditure has not enhanced the value of the undertaking; and

(c) such allowance as appears to the railway tribunal to be reasonable in respect of capital expenditure not being less than one thousand pounds in the case of any work and not being capital expenditure included in paragraph (a), on works which enhance the value of the undertaking, but which had not at the beginning of the year 1913 become fully remunerative:

Provided that, in determining the sum which charges will, with efficient and economical working and management, yield, the tribunal shall, with a view to encouraging the taking of early steps for effecting economies in working and management expenses rendered possible by or in anticipation of amalgamation, take into consideration the economies effected by such steps already taken, and shall make such allowance in respect thereof as the tribunal may consider fair and equitable to an amount not exceeding thirty-three and one-third per cent. of such economies.

(2) The railway tribunal when fixing charges in pursuance of the provisions of this section shall have regard to the means which in their opinion are best calculated to ensure the maximum development and extension in the public interest of the carriage by railway of merchandise and of passengers and their luggage, and shall accordingly ascertain as far as may be practicable the effect which the existing charges, or any of them, have had upon the merchandise or passenger traffic to which they are applicable, and, in particular, whether the application of such charges has tended or, if continued, would be likely to tend towards causing the increase or diminution of the said traffic.

(3) If on any such review as is mentioned in the next following section it appears to the railway tribunal that the allowance made under paragraph (c) of sub-section (1) of this section was too high or too low, the tribunal may revise the allowance and make such adjustment in the amount of the standard revenue as may be necessary.

(4) When fixing the charges necessary to produce the standard revenue, the railway tribunal shall take into consideration the charges in respect of any business carried on by the company ancillary or subsidiary to its railways, the charges for which are not subject to the jurisdiction of the railway tribunal, and if, in the opinion of the railway tribunal, the company is not making, or has not taken reasonable steps to enable it to make adequate charges in respect of any such business, the railway tribunal shall, in fixing the charges under this Part of this Act, take into account the revenue which would be produced by any such business if adequate charges were in operation.

Periodical review of standard charges and exceptional charges.

54 .—(1) The railway tribunal shall review the standard charges and exceptional charges of the amalgamated company at the end of the first complete financial year after the appointed day, or, if the appointed day is the 1st day of January in any year, at the end of that year, and unless directions are given by the Minister to the contrary in manner hereinafter appearing, at the end of each succeeding year, and the review shall be made on the experience of the operation of those charges for the period during which the standard charges have been in operation, or, if that period is more than three years, then on the experience of the operation of those charges during the preceding three years.

(2) The Minister may direct as respects any year after the second annual review that a review shall not be held provided that no such directions shall be given as respects any year for which the amalgamated company or any representative body of traders has applied to the Minister for a review.

(3) If on any such review the railway tribunal finds that the net revenue or the average annual net revenue obtained, or which could, with efficient and economical management, have been obtained by the company during the period on the experience of which the review is based is substantially in excess of the standard revenue of the company with such allowance (if any) as appears to the railway tribunal necessary to remunerate adequately any additional capital which may have been raised or provided in respect of expenditure on capital account incurred since the date upon which the standard charges were fixed in the first instance, the railway tribunal shall, unless it is of opinion that owing to change in circumstances the excess is not likely to continue, modify all or any of the standard charges and make a corresponding general modification of the exceptional charges of the company so as to effect a reduction of the net revenue of the company in subsequent years to an extent equivalent to eighty per cent. of such excess.

(4) If on any such review the railway tribunal finds that the net revenue or the average annual net revenue obtained by the company during the period on the experience of which the review is based is less than the standard revenue of the company, with such allowance (if any) as appears to the railway tribunal necessary to remunerate adequately any additional capital which may have been raised or provided in respect of expenditure on capital account incurred since the date upon which the standard charges were fixed in the first instance, and that the deficiency is not due to lack of efficiency or economy in the management, the railway tribunal shall, unless in its opinion owing to change of circumstances the deficiency is not likely to continue, make such modifications in all or any of the standard charges and such a corresponding general modification of the exceptional charges of the company as it may think necessary to enable the company to earn the standard revenue with such allowance (if any) as aforesaid.

(5) Whenever on any such review such an excess as aforesaid is found, then, for the purpose of subsequent reviews, sub-section (3) of this section shall have effect as if for the standard revenue there were substituted a sum (hereinafter referred to as the “increased standard”) equal to the standard revenue with the addition of twenty per cent. of such excess, and whenever on any such subsequent review an excess is found above the increased standard together with the allowance (if any) for additional capital, then, for the purpose of subsequent reviews, the increased standard shall be increased by a sum equal to twenty per cent. of such excess, and so on:

Provided that, if at any time after such an excess has been found, the standard charges and exceptional charges are modified in pursuance of sub-section (4) of this section on account of a deficiency, no such substitution shall be made until an excess above the standard revenue together with the allowance (if any) for additional capital is again found.

(6) The railway tribunal, when modifying charges on any such review, shall have regard to the like considerations as when fixing charges in the first instance:

Provided that the tribunal shall have regard to the financial results obtained from the operation of any ancillary or subsidiary business carried on by the company, and if satisfied that the net revenue resulting therefrom is, having regard to all the circumstances, unduly low, may, for the purpose of such review, make such deductions from the charges which would otherwise have been fixed as they think proper.

(7) The modifications of standard charges and exceptional charges made in pursuance of this section shall take effect as from the 1st day of July in the year following the last year under review or such other date as the railway tribunal may fix.