Surely the reason for all those electrification extensions beyond the “natural” end point is because that was the closest place you could put in the new stabling sidings / depot (all of the projects would have involved an increase in stock required and needed stock at the outer end at the beginning of the day)? Not sure about Alton, though, as the sidings are at Farnham.
The SR principle was always to go past the target town station; that took precedent; that the EMU sheds (e.g. Ore, West Worthing) are where they are is a function of the extension through the town, not the other way round no way did they go past Hastings or Worthing just to provide a car shed.
Unfortunately writers on this stuff do not do their research fully, wrote incorrectly or incompletely, then that false story becomes embedded as history as is gets repeated and repeated.
Alton / Farnham is different for applying the same principle but impractical for other reasons. Aldershot was the target town, electrify extension to Farnham was the plan. But, a different cost factor then arose: to combine terminating electric trains at Farnham from the east AND all the steam services from the west (there were 4 different routes converging in the area) meant a complete rebuild of Farnham beyond its 2 platforms to handle all that. Not economic to rebuild. The next place west is Bentley where one route diverged, but, only a little further is Alton, a bigger town (although not that big) where 3 routes converge, and room for maneovure, so become the logical place, the money spent on third rails to Alton off set the steam savings of the three different branch services not going east of there.
In fact, Aldershot / Farnham / Alton worked out in reality what Bournemouth / BournemouthWest + Branksome / Poole should have been.
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But why on earth the 1966 pattern of bi-hourly 91 to Weymouth, hourly 92 to Bomo (one alternaitng opposite the 91 to Weymouth) could not have been hourly Poole trains, and the 93s still use Bomo bay could not have worked, which would have given 2 TPH to Poole. You can then debate if Branksome and Parkstone could be 1 or 2 TPH and which ones called.
3 per 2hr, surely, uhtil the fasts went hourly?
I said that. I wrote
bi hourly 91 and
hourly 92 => 3 TP2H (three trains per two hours) - alternate 92 went to Weymouth while the bi-hourly 91 existed =>
hourly Poole.
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I make it still 3 diagrams but with longer layovers at Poole (and an extra REP - though I suppose you could have decided to work half the semi-fasts with Cig-Big-Cig?).
Perhaps I should have said "could" not "would" - by twiddling timings is where 3>2 33/1 could have been done.
12ICBC on 92s would have led to less efficient Rep fleet. Never a suggestion from me nor imply it. The Rep pattern at Waterloo was up 92 > down 91 > up 91 > down 92 cycles all day; if the Up were 12ICBC then it can't be the next Down push-pull, and v.v.
Quite apart from that, there were no SWD IG stock at this period in time, all Cig/Big was on the CD.
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Just the bodies, with doors windows, compartment partitions, and some other parts.
They had new bogies, new electric heating, new aluminium fittings, new upholstery etc

Not the underframes then ??????
It is the underframe that is the most important re-used part.
Indeed; Much of the 'new' stock for the Bournemouth electrification was actually repurposed Mark 1 stock, ie half the REP vehicles and all the TC vehicles!
Not just that. Rebuilds etc :
19 33/1 converted to push pull.
10 74 converted from 71.
3 'new' de-icer ex Lav/Hal
4 air brake shunters (15230233)
The only new build budgeted against the project was - as you said - the original 22 Rep motor coaches, and then 20 4Vep and 12 EDL. Originally all 42 73/1 were to have been booked against it, but they did some creative accounting, offset 30 of the JBs against SED and wrote off the book value (for this purpose) against transferring already existing 33s.
There was also a huge number of LH stock for peak trains and boat trains that was counted in the original project that was eroded by traffic loss and descoping and other accounting. There was a plan at one time for 4 vacuum braked sets for peak hours trains to be push pull loco operated with a single driving trailer at the opposite end; still BR SR 27 way train controls, but using vacuum not EP braking.
Another confusing factor is Weymouth boat trains; at the time the original BR SR Bomo line was schemed out - c.1955-1958, Weymouth was all WR and the CI boat trains (up to 4 per
sailing at peak times) were Paddington. There were no Waterloo CI boat trains until when was it 1962???? when the area transferred to Southern Region. This was simply one more input to an ever moving target.