DUPLICATION OF THE AUSTRALIAN CABLE.

Globe, Volume XX, Issue 1561, 19 February 1879, Page 4

DUPLICATION OF THE AUSTRALIAN CABLE.

[" European Mail."] An extraordinary general meeting of the Eastern Extension, Australasia, and China Telegraph Company (Limited) has been hold at the City Terminus Hotel, "to approve an agreement made with the Governments of the Australian colonies, or some of them, for the duplication of the Australian cable," &c. Mr J. Pender, M.P., the chairman, presided, and eaid that that morning he had recnved the following telegram from Colonel Clover: — " Berry, Burns, and self have all signed the agreement, so all is now completed. Hope this will be in time for general meeting. Documents posted to-day by Francisco mail." The chairman then explained that Mr Berry was the Prime Minister of Victoria, and Mr Burns was the Postmaster-General of New South Wales, and both had acted by the authority of their respective Governments. The agreement was virtually completed, but it must be perfected in this CJuntry when the documents came to hand. Mr Bompas (the solicitor) then read the agreement, which was for the construction of a second cable from Singapore direct to Banjoewangie, thence direct to Port Darwin, for an annual subsidy of £32,400, payable for twenty years ; and before it becomes payable the company must lay a second cable between Singapore and Penang. They are to maintain their lines in full working order. The cables mentioned are to be open for communication within eight months from the date of signing the contract; and if opened within the time contracted for, the subsidy will accrue four months after the signing; but the company is not to be entitled to any payment under this clause till the cables are open for communication. The company may not, " during the currency of the agreement, increase its own proportion of the charges for messages exchanged between Port Darwin and London beyond the rates provided for herein for Government messages, per word, 2i lOd ; for Press messages, per word, Is 5d ; for all other messages, per word, 5s Bd." The chairman, resuming, said he considered that the advantages of the agreement to the company were very great. The Australian colonies had seen the inestimable benefits of continuous telegraphic communication with this country, and they had acted together in this matter. The single cable at present could do ten times the present amount of work, but it was to make communication more certain that they had agreed on the subsidy. The reduced rates for Press and Government messages were 75 and 50 per cent, respectively. The principal adv»ntages of the arrangement were that the fear of competition which they had been threatened with ever Bince the formation of the company was removed. In many things competition was wholesome, hut in their particular business he believed it was destructive. They were also almost certain to have their truffle continuous, and during the last two ypars th y had suffered to the extent of £32,000 through interruptions The public would have a more reliable and efficient means of communication. The reductions given to the Press would recoup the company very shortly. A very large proportion of messages passing over their system was done by code, but the messages sent by this arrangement would have to be "in plain language, no cypher, code, or group of letters, or words of concealed meaning to be used." The interest on the estimated cost of the new cables was entirely covered by the subsidy. It was proposed to take authority to raise £660,000 to provide the duplicate cables and restore the working capital expended in payment of the Sherard Osborn and the Agnes. He concluded by moving a resolution approving and confirming the agreement, and authorising the directors to exercise the requisite powers for carrying it into effect, with any modifications they might think necessary. Mr W. N. Massey, M.P., a director, having seconded the motion, some discussion followed; and in reply to questions, the chairman said they did not expect the working of the new cables would cause any increased expenditure. They would not offer the manufacture of the cable to competition ; it would be made by the Telegraph Construction and Maintenance Company. The motion was carried unanimously, and a vote of thanks to the chairman and directors terminated the proceedings.