No Coal Board witness for 75-tipper switch
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• The applicant was not seeking to roam around Yorkshire like a robber baron but would rely on old, faithful customers for 95 per cent of its traffic, said Mr. R. Yorke, appearing for R. Hanson and Sons Ltd. in Leeds last week. Hanson was applying to switch 75 tippers on to B from Contract A licence, to carry goods for the National Coal Board (Yorkshire), ICI Ltd. (Mond div.), Wm. Shaw and Sons (Huddersfield) Ltd. and Alan S. Dennif Ltd.
Mr. Yorke told the Yorkshire LA, Mr. H. E. Robson, that the applicant was applying for vehicles to carry existing traffic which it had been carrying since the grant of the first short-term licence last April. The object of the application was to reduce empty running to a minimum and had been necessitated by two events in 1967.
From April it effectively took over Sam Longson Ltd. of Chapel-en-le-Frith, whose 62 vehicles were already fully occupied, but who had agreed to undertake the haul of £101,000 worth of new ICI roadstone traffic. At this time Hanson lost a £100,000 contract of 25 years' standing with NCB to carry coal for the North Eastern Gas Board.
Comparing the nine months when 64 vehicles were on short term and 11 on contract to NCB, with the equivalent period in 1966 when all 75 were on contract to NCB, the total earnings for these vehicles were £338,949 and £323,860 respectively, showing a 5 per cent increase.
In cross-examination Mr. I. A. Backhouse for 25 objectors, including British Railways, suggested to Hanson's group general manager, Mr. A. R. Botham, that the £33,800 worth of capacity gained by its existing Aand B-licensed fleet had been made possible by its ability to inter-work vehicles on Shaw and ICI work under the short-term licence. Mr. Botham said full utilization was paramount and the traffics had to be inter-married.
Regarding the NCB traffic. Mr. Backhouse said: "I suggest to you that your total carryings for the NCB and Shaw coupled with other traffics that you have lost during 1966 collectively meant that in April 1967 you had sufficient capacity within your existing A and B fleet to absorb the whole of the remaining contract work without the necessity for a short-term licence." Mr. Botham emphasized that the increase in work was from existing regular customers.
Mr. Backhouse continued: "You are now saying that you need these vehicles not for work done under the short term but new work that you have taken on with your A and B vehicles. I suggest that had you made this application in April 1967 before you took on additional work, you would have been unable to show that there was any traffic that required 75 or even 64 vehicles."
Mr. Botham said the loss and gain of customers did not happen at a given time but throughout the year and the existing fleet was fully occupied.
In evidence, Mr. F. H. Walker, commercial assistant, Mond Division, ICI, said the roadstone was new traffic last spring and gave details of icrn tons of orders on its books. Production this year was expected to increase by 21 to 3 times. The increase to l+m tons of rock salt this year, following tonnages of 700,000 in 1966 and 556,500 in 1967, was caused by the recent snow and consequent depletion of local authority stocks.
Hanson undertook 80 to 90 per cent of its hired haulage, said Mr. C. H. Marsden, Shaw traffic manager. He agreed with Mr. Backhouse that it had not experienced any difficulties.
During the second day of the hearing Mr. Yorke said that BR was not prepared to accept their statement of intention that 85 per cent of the NCB traffic would be from non-rail connected sites and withdraw its objection, so if the licence was granted Hanson would no longer be prepared to protect the railways' interests.
Mr. T. Simms, of T. Simms Ltd., Ossett, objecting, said it had worked for five years for the Coal Board prior to June 1967, when it had lost the work for its six Alicensed tippers to Hanson who had offered a more competitive price.
Mr. D. D. Turner, of Herbert Knee Ltd. and a director of North Western Tippers Ltd., said they had unsuccessfully offered weekly spare capacities of 500 tons to ICI for roadstone, weekend working for salt to ICI, and 200 tons outward loading of coal to Shaw.
In submission Mr. Backhouse said the NCB was the applicant's single largest customer and the LA could have expected to hear oral evidence from it. The Tribunal had said nationalized industries were not exempt from sending witnesses to inquiries. Mr. Yorke invited the LA to mention this in strong terms in his decision. Mr. Robson told them: "I take a rather serious view of the absence of the Coal Board in this case."
The NC B letter had only said it expected to give Hanson the same tonnage in future and gave no undertaking regarding its not taking out further contract vehicles for this work, said Mr. Backhouse.
The objectors, said Mr. Yorke, had only given evidence of partial back-loading availability, and no extra vehicles would be going on the road.
Mr. Robson reserved his decision.