Cecil Rhodes Sr. was the Prime Minister of the Cape Colony back then, so it was normal for the Cape Railway to have shares of the Rhodes family.
The railways built after the establishment of the federal government in Southern Africa also had shares in South African companies. Many of the railways were even jointly invested by Roque and Stoudemire, so on this issue, Roque and Stoudemire really have the decision-making power.
If Roque and Stoudemire do not agree to nationalize the railways, then even Philip will be unable to do anything about it.
As Rock expected, after Rock relayed Stoudemire's opinion to Philip, Philip also firmly opposed it.
"Establishing a commercial company to operate the railway has no change as before. Locke, don't think that I want to nationalize the railway for my own political achievements. I am clearing the way for you. Alfred and I are both old
The future of southern Africa belongs to you young people." Philip said earnestly and was already prepared to be scolded.
A very amazing fact is that in southern Africa, if a large company does something wrong, most people will take it for granted.
And if this kind of thing happened in a government agency, then people would definitely want to get to the bottom of it and hold them accountable.
The same goes for railroads. It is normal for railroads operated by commercial companies to have low efficiency, poor service, and high prices. But it is unacceptable for the same thing to happen to railroads operated by the federal government.
The Palace of Justice has just been renovated. In addition to the portrait of King George V, there are also photos of Adelaide and Philip hanging in Philip's office. Rock feels that Philip's photo seems larger than Adelaide's.
Maybe it's an illusion.
"Philip, there is no need for this. In fact, if the federal government wants to increase revenue and participate in dividends, it will be better than government-led." Roque's biggest worry is that once the railway is nationalized, not only will it not achieve Philip's purpose, but it will actually
This will put the federal government in an even more embarrassing position.
Relatively speaking, Roque still prefers Stoudemire's plan. The federal government can pay dividends but not participate in the operation. In that case, the railway company can even set a minimum standard to ensure the federal government's income.
"If a national railway company is established, we can hire professional managers and operate the railway completely in accordance with market rules. The federal government can receive a certain percentage of dividends every year. This is good for all of us." Roque is not worried about the interests of passengers.
If the price of train tickets is too high due to losses, people will naturally choose more suitable travel methods.
Different from the railways in Rock's memory, the railways in southern Africa are more responsible for freight transportation, and people rarely choose railways when traveling.
This is also related to the actual situation in Southern Africa. There is no annual wave of migrant workers in Southern Africa. Most factory workers come from neighboring countries and regions and only go home once every few years, so they do not occupy too many public resources.
"Locke, I know what you are worried about. Nationalizing the railway will not affect your status in Nyasaland." Philip was in a bad mood, and Rock's reaction was beyond Philip's expectation.
"No, no, no, this has nothing to do with Nyasaland." Roque disagreed with Philip's words.
Compared with Philip, Roque is very clear about the advantages and disadvantages of government leadership. Philip only imagined it, but Roque has already verified it in Nyasaland.
Nyasaland's railway system was originally led by the Nyasaland State Government and was not Roque's private property.
As a result, with the development of the Nyasaland Railway, various problems arose one after another, including bloated institutions, high costs, low efficiency, and complaints from passengers.
Later, the Nyasaland State Government established a commercial company to conduct commercial operations of the railways in Nyasaland.
After the railway company was reorganized, the results were immediate: service levels were significantly improved, efficiency was gradually improved, costs were continuously reduced, and the company turned a profit that year.
However, the situation in Nyasaland is different from that of the federal government. Roque has absolute authority in Nyasaland and sticks to his word. However, there are many contradictions within the federal government, and it is difficult to reconcile the interests of all parties. There will be new conflicts by then.
problem occurs.
"Then what are you worried about?" Philip was also helpless. If Roark disagreed, this proposal would definitely not be passed in Congress.
"There are many issues to worry about, Philip. You may not know that even the Nyasaland Railway is actually not profitable." Rock said frankly that this is normal. Rock has never been involved in public undertakings that are related to people's livelihood.
Making money is not just about transportation, medical education, electricity and postal service, including the Nyasaland state government. In fact, none of them make money.
Nyasaland has developed heavy industry and has great advantages in the fields of military, automobile, aviation, shipbuilding and other fields. Therefore, Rock has no requirements for the profitability of public utilities. Even if there is a small profit, he will continue to invest in later construction. This is Nyasaland.
It has unique advantages that other states cannot achieve.
The railways in southern African states that are truly profitable are actually only a few states such as Cape Prodcia Dias. The railways in other states are not profitable, and the railway companies are even operating at a loss.
It cannot be said that it is losing money. Southern Africa has a very good policy for railway companies. When railway companies build railways, they will automatically obtain the land management rights within ten kilometers on both sides of the railway. This is a huge benefit in itself.
After the land is acquired, the land and the railway are often separated and a separate company is established to operate it, so it seems that the railway is not profitable.
In fact, Rocks did not enjoy this welfare. All the land in Nyasaland originally belonged to Rocks.
"I know, and I also know the reason why the Transvaal Railway is not profitable." Philip looked ugly. He had been the governor of the Transvaal for ten years and knew the situation in the Transvaal very well.
The reason why the Transvaal railways are not profitable is because large companies such as the Fawalt Steel South Africa Company are obstructing them. It is said that the price of train tickets in the Transvaal has not increased for more than 20 years, compared with after the Boer War.
Pretty much the same, but prices have been rising year after year. It's no wonder that the Transvaal Railway can make money.
"So, does Henry agree with your decision?" Rock was curious. Henry probably didn't have the overall perspective of Rock.
"Humph, he has to agree even if he doesn't agree." Philip probably had already communicated with Henry, and the result didn't seem to be good.
Rock ignored Henry, Hamilton and Vincent had already arrived in Pretoria and gathered at Xiaosi's home in the evening.
"The key to establishing a railroad company is profit sharing. The federal government wants as much as it wants every year, but too much is not enough." Hamilton is an old guy from Cecil Rhodes's time. Now he is in his seventies and is very old.
"The federal government wants 20%, or 25%, I prefer 10% -" Stoudemire sharpened his knife, this difference is a bit big.
"Twenty percent is absolutely not acceptable, otherwise all the profits will be taken away by the federal government." Vincent is less than fifty years old this year, and like Stoudemire, he is a second-generation rich man.
Cecil Rhodes Sr. and his generation were actually the pioneers of southern Africa, and Stoudemire and Vincent largely enjoyed the success.
"After the establishment of the United Railway Company, the railways of various states can be integrated, and profits will be further increased." Roque is inclined to establish the United Railway Company, but his requirements are the same as that of Stoudemire, and he does not want the federal government to interfere too much.
As for profit, although Roque can make some concessions, it is different for Hamilton and Vincent.
Roark did not make money from the railroad, but Hamilton and Vincent did not have much financial resources. It would be difficult for them to give up this part of their profits unless they could be compensated in other ways.
"Locke, what do you hope it is?" Stoudemire took the initiative. Hamilton and Vincent had no say in Rock, and only Stoudemire had the qualifications to talk to Rock.
"How about fifteen percent?" Rock compromised. This is equivalent to a nationwide railway company. The federal government takes shares in the Transvaal, Orange County and Victoria railways, and only accounts for
At 15%, the federal government actually suffers.
Of course, this account cannot be calculated like this. The railway network in Diaz and Victoria is not perfect, and continued investment will definitely be needed in the future.
The railways in the Transvaal and Orange are not profitable. The establishment of the United Railway Company is equivalent to the federal government getting rid of non-performing assets, which is also good for the federal government.
Stoudemire secretly weighed it. Hamilton and Vincent had eye contact. Hamilton was worried, but the greed in Vincent's eyes was fleeting.
"I think it's okay, if the federal government promises not to interfere in the operation of the United Railway Company." Stoudemire can still take into account the overall situation. He actually doesn't rely on the railway company to make money. He sells canned food, dried mangoes, bananas and so on. In fact, he doesn't need Rock.
Earn less.
Compared with heavy industry, agricultural products require less investment, higher returns, lower risks, and the economic benefits are still quite good.
During the economic crisis that just passed, the profits of South African companies were not greatly affected and they have maintained stable income.
Now that countries are gradually recovering from the economic crisis, the demand for agricultural products is increasing, and the income of South African companies is also rising.
Relatively speaking, the military industry in southern Africa has been greatly affected. The arsenal owned by Nyasaland Military Industry has been seriously under-operated in the past two years. In fact, it has been losing money every year. Roque has also had to work hard to promote the transformation of the arsenal.
Preserve your strength as much as possible and wait for the next world war.
"So, how should the shares be divided between us?" Vincent asked the most critical question. The federal government is easy to talk to, and the interests of their group also hope to be guaranteed.
"Of course it is divided according to the actual capital -" Xiao Si was rude and made concessions to the federal government. It was for the sake of Rock, so forget about Hamilton and Vincent.