REPORT OF THE STEAM COMMUNICATION COMMITTEE.

Nelson Evening Mail, Volume XVI, Issue 209, 2 September 1881, Page 4

REPORT OF THE STEAM COMMUNICATION COMMITTEE.

The follow icg report wos laid upon the table of the House yesterday : — ff Tba committee to whom it wasre-

ferred to consider and report as to the heat means of establishing a direct steam service between New Zealand and the Mother-country has conferred with a Select Committee appointed by the other Legislative Chamber, and having', in conjunction therewith, given careful consideration to the subject, and taken evidence thereon, which is appended, have agreed to recommend to the favorable consideration of Parliament the following resolutions :— " 1. That six ships would be neces- | sary for a monthly steam service. i «2. That such ships must be built specially for the New Zealand trade, of a draft of water which would enable them to enter the chief ports in the colony. They should be of at least 4000 tons register, and in every respect of the highest class. They should combine the necessary requirements for passengers, mails, and cargo, at a seagoing speed of not leBB than 12£ knots " 3. That the probable capital which would be required for the sufficient equipment of such service would not exceed one million sterling. "4. That the Government should be empowered to invite tenders and enter into an agreement with any person or persons who may be prepared to undertake such service. il 5. That the basis of such agreeshould be a guarantee on the part of the Colony, for not exceeding seven years, of a minimum rate of interest, Bay G per cent per annum, upon the actual amount of the coat of the steamers: Provided such guarantee shall not be upon an amount exceeding one million, and that the net annuaf earnings of the service shall go towards the reduction of the payment of interest so guaranteed : Provided also that, in the event of Buch netearnings being in excess of the 6 per cent guaranteed, such excesses shall belong to the contractor. In reckoning the net earnings, not more than 10 per cent shall be allowed for depreciation. "6. In the event of contractors being found within the ?colony willing to undertake the service on the fore-men-tionftd baeis, cceteris paribus, a preference should be given to aocb. 7. " The Committee has obtained an accurate return r-f the exports and imports between New Zealand Bud the United Kingdom direct, during the past ye*r. From this it will be seen that 198 direct ships have been earployed during the year, carrying 5904 passengers, end 229,199 tone of cargo. The estimated value of the cargo amoucts to £8 533,552. Estimate! have alto been procured as to tha probable increase of exports wbioh will result from the successful application of the freezing process : it is estimated that at least 500 tong of frozen maat will be shipped monthly. It farther appears in evidence that a considerable amount of merchandise is regularly finding its way from Europe to New Zealand by Melbourne, which may fairly bo presumed would ba shipped hy direct steamer, were sacb a service estabjishej," " 8. Taking the Pastsl receipts into consideration, and without speculating upon the extension of our commerce which is year by year developing itseli more and more, the Committee is of opinion that, even at the outset, the earnings of a well conducted siesta service are likely to be such as would materially reduce the gum payable in respect of the colonial guarantee. "9. A3 indicating soms of the collateral advantages which would result to the colony from the establishment of the service now in question, the Committee would call special nttention to i two statements which atpear in the evidence of the Managing Director of the Union Steem Shipping Company, to the effect tbat each vessel outward would take 2000 tone of New Zealand coal, aad that the vessel's disbursements in the colony would be £3000 eech trip. "10 Inasmuch es from eighteen months to two years from data of contract must elapse before the actual working of the proposed service coald be initiated, the Committee would recommend that the Government may be authorised before the clcae of the present Beesion of Parliament to take the neoesßary aciion in the matter."