The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, SEPTEMBER 21, 1925.

Hokitika Guardian, 24 September 1925, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, SEPTEMBER 21, 1925.

PI BI.H WORKS FNPE-YimTKF. In the Mouse early on Saturday morni iug, the Prime .Minister, who is also .Minister of Public Works, replied to the strictures passed on the Governuicnt during the debate on the Public Works Statement. .Mr Coates' speech seems to bate impressed the Wellington papers which contain special referee, e to what was evidently a notable deelartion. if not defence, of the public works' policy, which .Mr Coates has betui directing for the past few years. Mr Coates, for instance, enunciated that “the policy of the Government is for the real national interests of the country ; the country first, the country always, ami the country only. That is the policy of the Government and the policy that has 1.-ecn rigidly adhered to." From this text he elaborated considerably under the various headings involving public works expenditure. It is not possible to follow the spec h in full detail, hut some of its points may he referred to. Replying to a statement that the North of Auckland was favoured unduly, the Minister made a vigorous rejoinder. ‘‘General statements of that sort are not worth much.” stated the Prime Minister. “Indeed, they are worth very little." As far as a Minister was concerned and members knew it lie did not interfere with any allocation that was made, except when the memlter for a district requested him to see if his Department would reconsider his decision in regard to an item. The member for Patea. who had complained, either did not understand, or had not taken the trouble to investigate. the method of allocation these days. He had stated that the country would have to he very careful about its borrowing. That was conceded, but the burden of his complaint had (seen that his counties had not received enough money. “If borrowing is to cease." said the Prime Minister, “there cannot be an ample supply ol money for roads, bridges, railways and so forth. . . . The question arises: Are we justified in borrowing? The object of borrowing to-day is to complete out public works. That is a definite matter pf policy, and it is one that should

bo considered l>y every thinking man in the Dominion.” During the past thirty years our population had doubled. "What would he the population in twenty-five years? Could it he stated as -J)().01)0 r Was our ratio of borrowin'.' strictly in accordance with the population increase? Mr Coates said that after making some investigation he firmly believed that the country was justified in borrowing money today “for the purpose of laying the foundation for the increase in population to come.” “We are justified in taking that risk.” added Mr Coates, “although I say- there is no risk in borrowing for public works, especially." The public debt was quoted in bare figures at £ 2C:).()0;).i:0!>. but never was it taken into consideration that half the. total debt wa> owed to people within New Zealand. On the other hand, included in the total debt was the borrow ini for advances to settlers and advances to workers. These loans showed profit, and they paid their own interest and sinking fund. Then there were hydro-electric works and the development of hydro-electric power. 'I he programme provided for an expenditure of Cl ,00b.IKK) per year until certain work- Here completed. The scheme as a whole could never he a success until it was completed, and those schemes which had keen thought out beforehand must be completed; there could he mi turning hack. “If they were wrong, they were wrong when we started.’' stated the Prime Minister, “hut mv own opinion is that those schemes will he a huge suete«s and will justify ii, in asking people to come to New Zealaiid from those sources from which we decide to take our immigrants. The policy of the Cnvernmont is the completion of the programme it has laid down; to see it right through. . . and there is not a -member of this House prepared to stand up and say that it should not go on or that it was not sound in every particular. In dealing with the Highways Hoard, an lion, member had suggested iliat the tire tax should go to the counties, hut the Act- distinctly stated that the tire tax was for the purpose of paying interest on capital moneys. It went to pay interest, on the moneys borrowed liv the Highways Hoard to carry out construction work. That work was carried out either hv the hoard under its own supervision, or under the “supervision of the local authority. In regard to the heavy license lees all the iminov was spent by the local authorities. All the Highways Hoard got for maintenance was the annual license fees, and that was spent to meet onoihird of the cost of maintenance of the main highways. He considered that it was from £130.(100 to fiIoO.OOO a year, ft was a rising quanliiv, ot course, and it started at about £120.(100. If was true that seme parts <il the North Island had borrowed more money for the purpose of meeting the requirements of the Highways Act. and they had done so out of dire necessity, hutthis could not lie -aid about all of them. Some had found their money mil of revenue. Referring to the Local (lovernmeMt Hoard, the Prime Alin-i-ter said that mcinhTs knew that I’inn-anils and i lion -,a nils had been borrowed in New Zealand and pul on the road-, and in five or six years there was not. a Vestige of v.liat had I eon expended. That must call for investigation and safeguards. As an illustration. Mr Coates mentioned the case of whore money was borrowed for Kit years for the ] imposes of road (''instruction. That, was not sotiml. and therefore should not the question ot making it shorter periods he considered. and provide that- the read should expire with the termination ol the loan!' In conclusion. 11 1 • Prime Minister said that every care must he exercised in ceiineetion with creating new liabilities. “So long as we get our interest and stiflieieiit to pay our sink-

jug fund from our invest incuts." said \| r ( antes, "1 think we are i nsl i lic-d in M;!-r a le-ad to the extent ok an!ii• ij>:itiin; n population which i- ter

•nil! t' tolloW. 11l those tlitVK,” i"n ( -I i;• Iv-.I ttic Prinu- Minister, “it t.- .i matter of giving the population "Iticlt tomes to utis country till the convenience-. and living conditions and amenities ol life that a civilised population requires. lit New Zealand we are iortimately situated in every sense ol the word. \\e have no tremolo with our population™ there are no difiereitce.s between our aboritiigal people and ourselves; no (Iroliglit-st riekeit country. All we have to tlo is to develop on sound progressive lines, see that we get the best population h'utti the .Motherland, and 1 have tin hesitation in saving that the development we are carrying out will lie regarded in the years to come as being carried out iti a manner worthy of the best interests of our i ount-rv.”