CABLE MATTERS.

Gisborne Times, Volume VII, Issue 397, 23 April 1902, Page 2

CABLE MATTERS.

INTEIH)EPARTMENTAL REPORT.

By. Telegraph—Press Association— Copyright.

LONDON, April 22 3 In the continuation of the Inter-de-partmental report the Committee rereeognise the great senite of ihe Cable Companies, commercially and strategically, to British interests. Dealing with the proposals of State purchase, which the Committee oppose, the estimated value of the British companiesstock is- twenty-five millions, but experience had shown that the State failed to obtaiu favorable terms for transfers of property to itself. When transfers were made there is constant pressure for increased wages of the working staff, and for adequate reductions of rates.. The Committee report “No detailed calculations were laid before us to show how a penny rate to America and Australia could be made to pay' ; indeed, the advocate of the scheme broke broke down altogether when cross-examined on the point, and we are clearly of opinion that the establishment of such a rate) on a commercial basis is impossible in regard to all proposals. A large reduction in existing rates is impracticable. There is little analogy between submarine cables and the penny post. On the other hand we are not in favor of either working cables by State at a loss, or of establishing private cables on a commercial as opposed to strategical grounds, both of which courses burden the taxpayer unfairly for the benefit of a special class. We are not prepared to say that the existing rates are excessive, wLh tho exception of those to the Gold Coast, Nigeria- We recommend that a reduction he attempted in connection with the renewal of the Eastern Company’s landing rights at Porth (Jut-now.”