LAST NIGHT'S COUNCIL.

Nelson Evening Mail, Volume VIII, Issue 114, 13 May 1873, Page 2

LAST NIGHT'S COUNCIL.

The Council met at 5 o'clock. The Provincial Secretary moved "That it ie expedient in order to relieve the public from the payment of tolls, that the Towing Track between Westport and the Inangahua should be purchased from the Company by whom it was constructed, upon the terms provided in the protection which was granted to the Company, -namely, by payment of the actual cost of the work with ten per cent, added. The payment to be made in land at the prices assessed by the Waste Lands Board." The matter was eventually referred to a Select Committee. -—The Provincial Secretary moved "'That, in. the opinion of this Council, it is expedient that the whole of the funds available under , the 43rd section of the Immigration and Public Works Act, 1872, for expenditure within iihe ' South-weßt Goldfields, during ' the year ending June; 30, 1874, should be devoted to the formation of dray roads between the Lyeir and the Matakitaki, and '''"''between, 'the; Inangahua »*»'_ the Lyell." Mr j; ; O'Conor - opposed the resolution. ; Mr Donne 'moved tfolhit^ be referred/to 4& Select Committee/ in %hich he was^supported) Jbjr : p Mr " Guinness and the proposition "iv'itp^&pp^intS: _:..,:;Seiect ; ;-i Committee ---was; being putj'a division took place with_the -tvihSti^ . ; Messrs^pLd^;ftTO^y^lling,Ivfesjg , Baigen t, B urn; Wastneyi Messrs^^ Pmkerton^GibJbe^ O'Gboor, Gain-ness-and Rpid.r-T-rbe PioviNCLU. Secret

taky moved "That, in the opinion of, this Council, the late discoveries .of coal, of high quality and in large quantities, at the Ngakawaho' and at 'the Waimangaroa, render the construction .'of ; a railway suitable for coal traffic from .the Ngakawaho to Westport a matter of urgent importance ; and the Council trusts that the Colonial Government will proceed with the work without delay, under the authority of the Railways Act, 1872, from the funds therein appropriated for the Mount Rochfort Coal Railway." It was absolutely necessary in order to work the mine profitably that a railway Bhould be constructed. . The Government had granted a lease of 400 acres to a company which was forming, the prospectus of which was already issued, and there was every reason to believe that they would work it as it should be worked. A proposal had been received from a private ' company to construct the railroad on condition that they received a lease of 20GO. acres of the coalfield, and a bonus of 20,000 acres of waste -lands, but probably the Council would prefer that the work Bhould be undertaken by the General Government. Mr O'Conor seconded the resolution, although he did not think it would do much good as the , Provincial Government had done their utmost, to prevent the object of it being attained. Last year, when the Assembly was in session, a Select Committee was appointed to enquire into this matter, at which it was mentioned that the General Government would not undertake the work if the mine was disposed of by the Provincial Government. He had charged the Provincial Government with acting in opposition to the General Government, and had said that he had heard they were then making arrangements for letting the mine. This was denied by the Superintendent, and Mr Shepherd, at that time Provincial Treasurer. Upon receiving such an assurance he bad felt reassured and determined to move no further in the matter, but on returning from* the Assembly he found that arrangements had been entered into for leasing 400 acres of the Ngakawau mine, Since then he had used his best endeavors to form a Company for constructing the railway in case the action taken by the Superintendent should deter the General Government from undertaking it^ as they required the mine to be handed over in security for the work. His proposal was put in, and the answer he received was that it was held over for tbe consideration of the General Government. Since then he found that the Provincial Government had granted a prospecting license for the whole of the Mount Rochfort mine as well. All this would militate against the General Government constructing the railway, as the security they required was alienated, and it certainly would not be worth while for a company with a capital of say £50,000 or £60,000 to construct a railway, as in addition to this they would have to buy out the other claims upon tbe mine. He distinctly charged the Provincial Government with a breach of faith, and with playing hot and cold with the General Government. The Superintendent was asked by telegram by the Westport people people that no rights to the mine might be granted on the 28th March, and yet on tbe Ist April they had granted the lease. In alienating the mine they had placed an insuperable obstacle in the way of the General Government undertaking the construction of the railway. Mr Shephaed said that on Mr O'Conor speaking to him in Wellington of the lease of 400 acres of tbe Ngakawau mine being granted, he had spoken to the Superintendent about it, and obtained from bin) a distinct assurance that no such lease had been promised, which was repeated by him in his examination/ before the Select Committee. Mr O'Conor had said that on his return from Wellington he found that the lease had been' granted, but he was in error, as up to the time he (Mr Shephard) ceased to attend the meetings of the Executive, ba could say that no such lease had been granted. (Mr O'Conor: I only said that a pledge had been given that it should be granted). So far as he knew as a member of the Executive, no ; promise of a lease had been given by the Superintendent up to that time. He was. desirous of clearing himself of all shadow of being concerned in the matter, as he had always worked to keep this, the first coal mining property in the colony, open for the public benefit. He hoped some, one would move for a Select Committee to enquire into the whole afiair-. Mr Reid said that he had received a telegram stating that /there •was astrong local feeling of indignation on the subject in Westport, and he feared that there; •wouldrbe; ;^ si^ Select Committee ifv one, were appointed /IV-r i^OiiD^as''^ ■bestuiiftj^i^^ £V^£J£o^ ;■, a \ ; sidered" that the granting !6f a lease-of 400 ' flpf 'Mii^^§^&M^^§§io444

acres would: make little difference in the value; of the mine as security, as it was known to beialmost inexhaustible. If the General Government would take the rail-' way in hand it would be far better :than leaving ;it>to a private company, and.;- he thought the resolution might very fairly .be passed unanimously. The Provincial Secretaby denied that the Superintendent had. ever -given a pledge not to -grant any lease of a part of the coalfield, and to show the absurdity of such an assertion, be would state that it rested with Jhe Waste Lands Board and not with the Superintendent alone, and, consequently, he could not possibly make any such pledge. The history of the. lease was this : — ln 1872 certain geutlemen at Westport applied for a prospecting license which was allowed, after which the Waste Lands Board recommended that a lease of 400 acres should be granted to them. The Executive declined to. grant more than 20 acres, but this, it was represented to them, was too small an area for a' company to raise the necessary capital upou. * The Government consulted Dr Hector, who was then passing through Nelson, on his way to Ngakawau, and- he objected to more than 20 acres being granted. The Government then wrote to the proposed company still refusing the larger amount, but on Dr Hector's return from the Coast he waived his previous objection, upon which tbe larger area was granted in accordance with the recommendation of the Waste Lands Board. In promising the lease, they took care to reserve all necessary rights for roads, so that other companies might have equal facilities for shipping coal at the port. /It had been stated that the whole country between Ngakawau and Westport had been banded over to another party in the shape of a prospecting license, but that was not tbe case, only a very small portion of it having been granted, and only the inland side of Mount Rochfort. He believed that the Government were fully justified in the course they had taken. For a long time the cry had been, Open the Mount Rochfort coalfield, but nothing had yet been done: in that direction, and wbeu an application had come from Auckland from persons well able to form a company, the Government and the Waste Lands Board had considered' themselves perfectly justified in acceding to their proposal. — The resolution waa then agreed to, a motion having been previously tabled by Mr O'Conor for a Select Committee to enquire into the matter. — Mr Gibbs moved :— *' That a Select Committee be appointed by ballot to take into consideration the question of a general reduction in the expenditure of the Provincial Council, including the honorarium of members." Mr Wastney seconded the resolution. — A very general opinion was expressed that such a Committee' was quite unnecessary, as each item in the Estimates could be carefully dealt with by the Couhcil when in Committee of the whqle House. On a division, the motion was negatived by 12 to 5. Ayes : Messrs Baigent, Ivess, Gibbs, O'Conor, and Wastney. Noes : The Provincial Solicitor, the Provincial Secretary, Messrs Burn, Shephard, Guinness, Pinkerton, Donne, Tarrant, C. For remainder of news see fourth page.