Forwarding to all parts of the World, Customs Brokers, At a meeting of the Public Utilities Committee of the Shanghai Municipal Council held on December 5, consideration was given to an application submitted by the Shanghai Electric Construction Ca, Ltd. for approval of an increase in its fare charges owing to the further substantial increase in operating costs, due to the change in the local economic situation and the further substantial depreciation in the value of Chinese currency, which has occurred since the date of the Company's last application to increase fare charges, The proposed revision involves an increase in average per mile fares from 3.11 to 3.71 cents for Ist d accommodation and from 2.15 to 2.54 cents for 3rd class accommodation. The Company, in support of its application, pointed out that when ils last application for increased fares was made in April the exchange value of the Chinese dollar in terms, of sterling was 8i pence which rate had declined to 6%2 pence by the time the application had been sanctioned in June.
In considering this matter, the Committee noted that revisions of fare charges do not require the Council's approval provided fares do not exceed the maximum rate of 10 cents and 5 cents per mile for 1st class and 3rd class accommodation respectively, laid down in the Company's franchise as amended by correspondence in January 1930, Since the proposed average fares are well within these maxima and the increase applied for was regarded as reasonable under existing conditions, the Company's application was recommended for approval. The Committee's recommendation was approved by the Municipal Council on December 13.
Text read from the printed page and cleaned; old type leaves the occasional error.