MAR. 4.]

(b.) The amount of interest payable under paragraph (b) of
subsection one of section four of the said Act shall be paid
forthwith.

2. (a.) The rate of interest payable under paragraph (c) of
   subsection one of section five of the said Act shall be as
   follows:

(i.) On moneys advanced from the proceeds of Treasury
bills: the rate of interest payable by the Government on such bills.
(ii.) On moneys otherwise advanced from the Consolidated
Fund: four per centum per annum.

(b.) The time of payment of the interest payable under
paragraph (c) of subsection one of section five of the said Act
shall be the dates on which demand is made by the Treasury
for the same respectively according to Treasury practice.

3. The rate of interest payable under paragraph (a) of sub-
   section one of section five of the said Act shall be as follows:

(a.) On moneys expended out of the Railways Improvement
Authorization Account, 1904, and the Railways
Improvement Authorization Account, 1914: the
actual rate or rates of interest payable by the Gov-
ernment on such moneys.

(b.) On all other capital moneys heretofore or hereafter
expended in respect of the railways: four and one-
eighth per centum per annum.

4. (a.) For the purposes of paragraph (a) of subsection one
   of section five of the said Act, the total amount of capital
   moneys expended in respect of the railways down to the first
   day of April, one thousand nine hundred and twenty-five,
   shall be deemed to be the total amount of capital moneys
   theretofore expended in respect of lines open for traffic as
   recorded in the books of the Railway Department.

(b.) For the purposes of paragraph (a) of subsection one of
section five of the said Act, the total amount of capital moneys
expended in respect of the railways from the first day of
April, one thousand nine hundred and twenty-five, onwards
shall be deemed to be the aggregate of the following sums:

(i.) The moneys expended (including any imprest ad-
vances) down to the last day of every month out of
“Additions to Open Lines” vote of the Public
Works Fund and the Railways Improvement Autho-
rization Account, 1914, as shown by the Treasury
Accounts.

(ii.) The moneys expended down to the last day of every
month on new lines of railway as recorded by the
Public Works Department as from the date when
each such new line becomes a Government railway
open for traffic within the meaning of the Govern-
ment Railways Act, 1908.

(iii.) The charges and expenses of raising by way of loan any
moneys referred to in paragraphs (i) and (ii) of this
subclause (subject to apportionment as allocated in
the records of the Treasury in the case of loans
raised partly for other purposes).

(iv.) The amount of Public Works administration and super-
vision charges incurred in respect of construction of
railways as allocated in the records of the Treasury
or Public Works Department.

5. All moneys that have on and from the first day of April,
   one thousand nine hundred and twenty-five, down to the
   date hereof been paid out of the Consolidated Fund on behalf
   of the Working Railways in excess of receipts from Working
   Railways to Consolidated Fund shall, pro tanto, be deemed
   to have been repayments of the sum referred to in paragraph
   (a) of subsection one of section four of the said Act, and the
   balance of such moneys shall be deemed as from the last
   day of the month in which they were so paid to have been
   advances by way of loan to the Working Railways Account
   within the meaning of paragraph (c) of subsection one of
   section five of the said Act.

6. Interest payable under paragraph (c) of subsection one
   of section five of the said Act shall be computed from day to
   day on the amount of advances outstanding.

7. Interest due to the Consolidated Fund under paragraph
   (a) of subsection one of section five of the said Act may be
   paid monthly on or as nearly as conveniently may be to the
   first day of each month: Provided always that any such
   interest that may be due and unpaid at the thirtieth day of
   September and the thirty-first day of March in each year shall
   be satisfied by an advance by way of loan made on the said
   respective dates under paragraph (c) of subsection one of
   section four of the said Act, and the amount of such unpaid
   interest shall be transferred to the Treasury Advance Account
   accordingly.

8. Interest on surplus moneys of the Working Railways
   Account invested in terms of section seven of the said Act
   shall be paid to the Working Railways Account as and when
   received by the Treasury.

9. All securities that have, by Order in Council made at
   any time heretofore and now in force, been declared to be

securities in which any of the balances of the Public Account
may be invested under section thirty-eight of the Public
Revenues Act, 1910, are hereby declared to be securities
in which any moneys in the Working Railways Account
may be invested in manner prescribed by section ninety-one
of the Public Revenues Act, 1910, pursuant to section seven
of the said Act.

10. The portions of the railway lying between (and
    including) the stations mentioned hereunder in each case
    shall be deemed to be branch lines or isolated sections (as
    the case may be) within the meaning of section eight of the
    said Act:

BRANCH LINES.

Between
Otiaria
Paerata
Stratford
Longburn
Woodside
Napier
Rangiora
Kaiapoi
Waipara
Lincoln
Hornby
Darfield
Rakaia
Tinwald
Washdyke
Studholme
Pukeuri
Waiaureka
Palmerston
Wingatui
Milton
Waipahi
McNab
Riversdale
Edendale
Invercargill
Tuatapere
Winton
Lumsden
Westport
and
Okaihau.
Waiuku.
Tahora.
Foxton.
Greytown.
Eskdale.
Sheffield.
Bennetts.
Parnassus.
Little River.
Southbridge.
Whitecliffs.
Methven.
Springburn.
Eversley.
Waihao Downs.
Hakataramea.
Ngapara-Tokarahi.
Dunback.
Cromwell.
Miller’s Flat.
Edievale.
Waikaka.
Switzers.
Glenham.
Tokanui.
Orawia.
Hedgehope.
Mossburn.
Omau.

ISOLATED SECTIONS.

Between
Dargaville
Gisborne
Port Nelson
Picton
and
Donnelly’s Crossing.
Motuhora-Ngatapa.
Glenhope.
Wharanui.

11. Expenditure in respect of the operation and mainten-
    ance of each branch line shall for the purposes of paragraph (d)
    of subsection one of section four of the said Act be calculated
    as the aggregate of the following items, namely:

(a.) The cost of maintenance of ways and works, inclu-
ding provision for the replacement and renewal of
track, bridges, buildings, dwellings, and signalling-
apparatus.

(b.) The cost of working stations, signal-boxes, and trains.
(c.) The cost of operating and maintaining, including
provision for the replacement and renewal of loco-
motives, rail-motors, and other motive power
apportioned between the branch line and other
lines in proportion to the engine-mileage run on each
line.

(d.) The cost of maintaining, including provision for the
replacement and renewal of carriages, brake-vans,
and wagons apportioned between the branch line
and other lines in proportion to the revenue earned
on each line.

(e.) The cost of management and supervision and adminis-
tration apportioned between the branch line and
other lines in proportion to the revenue earned on
each line.

12. The revenue derived from each branch line shall for
    the purposes of paragraph (d) of subsection one of section
    four of the said Act be calculated as the aggregate of the
    following items, namely:

(a.) All fares, freights, rents, and other revenue derived
from local traffic on the branch.

(b.) The revenue derived from the carriage on the branch
line of passengers, parcels, and goods traffic from
and to other lines, determined by apportioning the
total revenue from such traffic between the branch
line and other lines in proportion to the mileage
such traffic is carried on each.

(c.) The net revenue derived from the carriage on other
lines of passengers, parcels, and goods traffic from
and to the branch line.