PUBLIC WORKS STATEMENT.

New Zealand Mail, Issue 36, 30 September 1871, Page 7

PUBLIC WORKS STATEMENT.

The Minister of Public Works, the Hon Mr Gisbovne, on the motion for going into Committee of Supply on Wednesday evening, said — Sir, —The great importance of the subject to which I am about to draw your attention, the variety of interests which it involves, and its complex and difficult nature, justify me in asking the liberal indulgence of the House, while I attempt to lay before it, as concisely as -I can, a statement of what the Government have done, and what they propose to do, in reference to the public works and immigration policy of last session. That policy is embodied in various acts of last session. I need not refer to the negotiation of the loan, inasmuch as that has been fully referred to in the budget of my hon friend the Colonial Treasurer. I will confine myself to the past and future giving effect to that policy. The past may be said to be fully recounted in papers already on the tabic : but it will be convenient that I should briefly recapitulate the powers given under the respective heads by tike legislature, and the steps taken to give them practical effect. The returns up to the end of the last financial year, which I will annex to a printed copy of this statement, will show the expense incurred up to that dale on this account, and other valuable information. ROADS IN THE NORTH ISTjA.NI). The chief work under the head of roads in the North Island has been the opening up of the interior, from both North and South, through one common centre at Taupo. Nearly the whole of the line of road—Tauranga to Taupo, and Taupo to Napier, and the line connecting the East and West Coasts through the Seventy-Mile Bush—runs through native lands, and great tact was required in order to overcome the prejudices and superstitions of many of the tribes concerned. Those who have any acquaintance with the Maori character must know that the natives regard time as of little consequence, and that in negotiating with them it is often the more haste the less speed. The tact of the officers, both of the Public Works Department and of the Native Department, and the influence of native chiefs —to all of whom the colony is much indebted —removed many difficulties. While in some cases delay arose from the difficulty of obtaining the consent of the native owners, it arose in others from their contentions as to whose lands the road should pass through—one tribe wanting it to go in one direction through their property, while another wished it to go in another direction through theirs. In this account of the past, I wish the committee to understand that I refer to what has been done to the 30th June last. The distance from Tauranga to Taupo by the line of road chosen is about eighty-four miles, of which about one-half has been constructed, and the remainder is in progress, at an expenditure incurred or authorised of £14,560 7s lOd.

i Prom Taupo to Kaiwaka, near Napier, the distance is ninety miles; and of this seventyfour miles of road are constructed and sixteen miles in progress, at a cost incurred and authorised of £11,883 83 lid. Fifty-three miles of the road from Napier to Manawatu were already completed at the cost "f the Province of Hawke's Bay ; and the remainder, from the end of that road through the Seventy-Mile Bush to the Manawatu Gorge, a distance of forty-two miles, is under construction by the Public Works Department at a cost incurred and authorised of £7085 9s 2d. The continuation of this road to Poxton, at the mouth of the Manawatu, a distance of thirty-five miles, is in course of completion, and about twenty-five miles of it are being laid down as a tramway, rendered necessary by the nature of the soil and the difficulty of procuring metal. The expenditure incurred and authorised on this work amounts to £24,803 6s 3d. The attention of the Government was early directed to the expediency of improving the road to New Plymouth, so as to admit of mail coaches running over it. Sufficient had been done early in last January to enable coaches to make their first trip, and they have since continued to run regularly, with but slight exceptions. Since January, nearly the whole length of roadway from Kai Iwi to near New Plymouth has been improved and repaired, and contracts 'taken for numerous bridges. The natives have hitherto refused to allow one portion of the road, a distance of twentythree miles, to be constructed. I am glad to state that the last accounts give a prospect that their objections are about to be withdrawn. There has been expended and autho : rised on the line from Kai Iwi to the military settlements at Wai iti, to the north of New Plymouth, the sum of £28,185 18s 4d, representing forty-five miles completed and fortyeight in progress; including a forest road from New Plymouth towards the rear of Mount Egmont, of four and a half miles. In the Bay of Plenty and Poverty Bay districts there are several subsidiary roads of importance to the opening up of the country for settlement. The line from Maketu to Rotorua, twenty-six and a half miles, has been improved at a cost of £1583 8s lOd. The others, Tauranga to Judea and Torere, being portions here and there where most needed, eleven miles in" all; and Opotiki to Waioeka, four and a quarter miles, have all been completed at a cost of £2451 3s 2d. Of horse tracks, there are on the line of road from Tauranga to, Torere seven and a quarter miles completed, at a cost of £1729 12s Id 3 Wairoa to Te Kapu, four and a half miles; and Mahia to Poverty Bay, twenty-five miles, both completed at a cost of £3092 4s lOd. The total expenditure on tbe roads and tracks above mentioned, and the amount authorised to be expended, are together £98,623 3s 2d, including £23,610 15s 3d for roads in North Island during the year before last, and £3248 3s 9d, for some repairs to the military roads in the Waikato, for explorations in various districts, and tools. Table A furnishes the details of the above expenditure, under the various headings of '•' day labor" a?(,d " contract," and shows the extent to which the Armed Constabulary, the natives, and the settlers generally have been employed in the execution of these works. RAILWAYS. As will be seen by papers laid on the table, the Government have negotiated with a view to giving effect to the recommendations of the act of last session in reference to the construction of the railways authorised in the first schedule. The line from Auckland to Tuakau has been carefully re-surveyed, with a view to reduce the gauge and otherwise lessen the cost so as to bring it within the amount appropriated by the legislature. This object would have been satisfactorily arrived at, had it not been necessary to divert the line through a difficult country to a different terminus, at an expense which will add to the cost per mile. The legislature will be asked to sanction the deviation, and the change of the terminus from Tuakau to Mercer. The Government would have negotiated with Capt Audley Coote for the construction of the railway from Blenj heirn to Picton, had the powers of that gentleman been sufficient. The House will recollect that both the lines referred to were to be executed on the guarantee principle, while the line from Dunedin to Clutha might, if the Governor thought fit, be executed out of that portion of the fund of £400,000 appropriated last session for Middle Island railways set apart for works in Otago, supplemented if necessary by money authorised to be raised for railway purposes out of the loan. The fact that this line had previously been surveyed, so that the plans then prepared could be readily adapted to the requirements of the Act, induced the Government to commence this work prior to obtaining a guarantee. Contracts for sections 1,2, 3, together six miles of formation, were accordingly entered into for £25,325 15s ; and since the financial year has closed, ten and a half miles at the Clutha end have been contracted for, at a cost of £12,949 3s. These contracts have been taken considerably below the Engineer's estimate. Plant and rolling stock have been ordered from Engl land at a cost of £20,000. Up to 30fch June there had been incurred on this line, including £12,309 for land purchase, an expenditure and'liability of £58,412 8s lOd. The Acting Chief Engineer has estimated that the construction of the whole Clutha line (inclusive of plant and everything except purchase of land) will not exceed, on the average, £4500 a mile. Schedule two related entirely to lines in Canterbury, and were to be constructed out of the Canterbury portion of the Middle Island Railway Fund, to be supplemented by £7,000 out of Provincial money, and also by such moneys authorised to be raised for railway 1 -purposes out of the loan. With a view ' to these lines being at once proceeded with, an arrangement was entered into with the Go-

vernment of that province to the effect that if the provincial authorities commenced the railways at their own cost, but under the direction of the Colonial Government, the works would be taken over when funds were realised out of the loan. The Government have agreed to take over the railway works on the Ist of October . next. They include the. Great Northern Line to Rangiora, nineteen miles. Tenders have been invited to be sent in by the 30th instant for about five miles from Selwyn towards Rakaia. During the year, the Timaru and Temuka line has been surveyed for contract as far as tbe Washdyke; and a contract for that portion has since been accepted, amounting to £9,018 12s Bd. The surveys of the lines in the third schedule have been completed with one exception ; and portions of that one —the New Plymouth and Wanganui to Napier line —are rapidly approaching completion, together with several others which had been brought under the notice of the Government by the Superintendents of Provinces during the recess. The expenditure and liabilities incurred under the head " railways" during the financial yeat have been— Surveys— £ s. d. £ s. d. North Island... 6,818 19 3 South Island... 5,054 10 6 — : 11,873 9 9 Construction, plant, and rolling stock, South Island 88,912 8 10 £100,785 18 7 The following is a summary of the railway work completed or in course of completion to this date : —The Auckland and Waikato line has been modified so as to suit the requirements of the country, and contracts entered into for sixteen miles of the Dunedin and Clutha line. In Canterbury the Great Northern line is in a fair way of completion. Tenders are advertised for five miles of the Great Southern line, and contracts entered into for two and a half miles of the Timaru and Temuka lines. Of the four lines, the survey of which is authorised in the third schedule, three have been completed, and one is in progress. The House will no doubt bear in mind, in regard to railways, as in regard to all other works, that the financial year was far advanced when the public works policy was authorised by the Legislature, that the department had wholly to be created and organised, and that the winter, in the North Island, has been unusually wet and protracted. In addition to the lines of railway mentioned in the three schedules of The Railways Act 1870, the following have, since last session, been recommended by superintendents and Provincial Councils to be undertaken by the General Government, viz :—A continuation of the line from Auckland to Waikato, by the valley of the Waikato, to the frontier settlements of the Waikato delta, Nelson to Eoxhill, Grey River to the Brunner Coal Mines, Westport to Mount Rochfort, Hurunui to Rangiora, Rangiora to Oxford, Eaiapoi to Eyreton, Rolleston to Southbridge, Rolleston to Malvern, Rakaia to Temuka. Timaru to Waitaki, Moeraki to Waikouaiti, Waihouaiti to Dunedin, Clutha to Mataura, Winton to Athol, Tokomairiro to Tuapeka, Mossgiel to Outram (Taieri District), Papakaio to Greytown (Waitaki Valley), and Oamaru to Waiareka.

Of the above, parliamentary surveys of the following have been completed, viz, Nelson to Foxhill, Grey River to the Brunner Coal Mines, Waipara to Rangiora, Rangiora to Oxford, Rolleston to Malvern, Rakaia to Temuka, Timaru to Waitaki, Clutha to Mataura, Athol to Kingston. The length of those completed surveys is 265 miles, or, including alternative lines, 366 miles ; and there are 83 miles additional under survey, being the lines from Eaiapoi to Eyreton, Winton to Athol, Tokomairiro to Tuapeka. Great pains have been bestowed on those lines which it is hoped will develop the Brunner and Malvern Coal Mines. Concerning the former, an exhaustive report by Mr Blackett and Dr Hector has been laid before the Assembly, and no less than three alternative lines have been surveyed with the view to bring the Malvern Coal Mines into easy communication with Christchurch. The commission of Practical Engineers appointed to decide on the site for the Waitaki Bridge having made their report, a series of borings was taken, the plan of the bridge determined on, and the iron girders required ordered from England. The specifications for the bridge are now nearly completed. Their preparation necessarily occupied some time. WESTLAND ROADS.

As the construction of roads in Westland is payable out of the portion of the Middle Island Eailway Fund appropriated to that county, it will be convenient to say here that, in November last, the Government made careful inquiries in order to ascertain what roads were best adapted to develop traffic in Westland. The result of these inquiries was, that, after conference with the chairman of the County Council, a trunk line connecting Greymouth with Boss through the districts of Omutumutu, Marsden, Nemona, Hohonu, Goldsborough, Stafford, Hokitika, and Kanieri, was decided on, with a junction from three miles east of Goldsborough to Christchurch Eoad. The sum expended and contracted for to date under this head amounts to £6,103 4s 7d. SUPPLY OP WATER ON GOLD FIELDS. As the House is aware, the Legislature last year appropriated £IOO,OOO a year, for three years, to be expended, at the request of superintendents and provincial councils, on the supply of water on the gold fields. Requests were received from the Superintendent of Auckland and the chairman of the County Council of Westland, but, for reasons which I shall state when I come to speak of the proposals for the future, not much has been done under this section of the act. In Auckland, a contract was entered into for the survey of the proposed line of the Thames

waterworks, but the excessive wetness of the season has prevented its conclusion. Valuable reports on water supply in Westland were also obtained. Of the three districts for which it was proposed to provide a water supply, surrey plans of the Mikonui and Kanieri, prepared for private persons, have been purchased; and a survey of the Waimea or Arahura is now in progress, lhe total expenditure authorised for survey and plans ot water supply to date amounts to £1,729. Bequests have also been received from the Superintendents of Nelson and Otago, but as they were made on the eve of the meeting of the Legislature, their consideration has been temporarily postponed. LAND PURCHASES.

Although there has been only a small expenditure out of the £200,000 appropriated last session for land purchases in the Northern Island, the operations have been most important. The acquisition of the Seventy-Mile Bush block, extending from the Euataniwha Plains to the Wairarapa Valley has long been an object of importance, both as expanding the limits of settlement and because it would enable the barrier which had practically divided the northern from the southern portion of the island to be removed. The whole of the block within the Hawke's Bay district, and a portion of that within the Wellington province, comprising about 250,000 acres, has recently been purchased for £IB,OOO, including contingent expenses. A further purchase, Comprising the whole of the remainder of the same district within the Wellington province, or about 200,000 acres additional, is now under negotiation. These lands have passed through the Native Lands Court, with the exception of a small block of about 7,000 acres. Although it has taken but few words to sum up the result of negotiations which have extended over several years, the difficulty or conducting them has been immense, and the success attained is mainly attributable to the ability and tact which were displayed by Mr Ormond and Mr Locke. Negotiations are also in progress for the purchase of auriferous and other lands in the Province of Auckland. IMMIGRATION. The papers laid before the Assembly will have informed the House that under the powers conferred by this part of the Act, His Excellency has appointed Dr Featherston Agent-General in London, and the House will be glad to learn that news of his arrival in London reached the Government by last mail. An experimental selection of a few immigrants fnom Norway, Sweden, and Denmark, was arranged for by the Hons. Mr Bell and Dr] Featherston, when they were in Europe last year. It was at first intended to distribute these immigrants among those provinces wishing to receive: them : but as they strongly objected, on their arrival here, to be separated, the Government thought it would conduce more to the success of the experiment if they were allowed to settle together. _ Arrangements were made with the Provincial Government of Wellington for their location in the Manawatu, close to the public works going on in thatdistrict, and although the winter weather has greatly impeded there progress, their is every reason to believe that the nucleus of a flourishing settlement has been sucessfully planted. Several of the laborers on the same works have applied to be located in the neighborhood on similar terms, and arrangements have been made for giving effect to their wishes.

By the terms of the act, tbe Government have been precluded from initiating during the past year any stream of immigration other than that recommended by the Superintendents of provinces; and although several of the provinces have availed themselves of the provisions of the act, sufficient time has not yet elapsed to admit of the arrival of more than a very few of the immigrants thus authorised to be introduced.

The immigrants to be introduced under these regulations are divided irto two classes—nominated and assisted. The former comprise those for whom passages are obtained by payments made by their relatives or friends in the colony ; and the latter those whose selection originate through the AgentGeneral. The number of nominated immigrants which have been sanctioned as likely to be sent for during the present financial vear are—Hawke's Bay, 500; Wellington, 400; Canterbury, 400; Otago, 1000; and Marlborough, 100 ; or a total of 2400 adults. The number of assisted immigrants applied for by the Superintendents and sanctioned by the Government are —Hawke's Bay, 100 : Wellington, 1500; Canterbury, 1050; and Otago, 1950; giving a total of 4600, or, including both classes, of 7000 adults. The expenditure incurred to date has been £2,949, and the liability incurred for passage money is upwards of £BO,OOO. In the absence of advices from the Agent-General, I am not yet able to say how much of the £150,000 voted for immigration to the 31st December next will be required. Application was made by the Superintendents of Canterbury, Otago, and Hawke's Bay that emigration on its way here from Europe at the date of the.passing of the Immigration and Public Works Act might be included within its provisions. The Government had no power to comply with that request, but promised to propose to the legislature a special appropriation out of the Immigration Fund to cover that amount, which, subject to examination, is stated altogether to amount to £23,200. So much for the past; now for the future. THE FUTURE. —BOARD OF WORKS.

Before I refer to the several great worts referred to in the Immigration and Public Works Act, 1870, and theKailways Act, 1870, I desire to advert to the nature of the Board of Works which we contemplate should be created as a board to assist in the administration of that act. While we feel that the Government cannot divest themselves of their

responsibility for that administration to Parliament, we also feel that, within constitutional limits, the practical administration of the act should be placed in the charge of a board of officers who would not be exposed to political pressure, and whose position, independence, experience, and local knowledge would be a guarantee that such administration would be best directed to a successful issue and to the attainment of the greatest public advantage. We think that the board should be appointed quite irrespectively of all party considerations, and should consist of five members, besides the President, and besides the Minister tor Public Works, and the First and Second Engineers, who should be ex officio members. We also think that the Disqualification Act should not necessarily apply to the members of the board. The general duty of the board would be to advise the Minister of Public Works on all matters connected with the administration of the act, to exercise supervision over the works in progress, and to recommend, in future, the construction of works. We shall make to the Assembly recommendations concerning the works to be authorised this session ; but we hope that' during future sessions it will be as much a matter of course for the House, before deciding on any work, to require the report of the Board of Works, as it is the practice, before deciding on any bill affecting the waste lands of the Crown, to require the report of the Committee on Waste Lands. Besides acting in some manner as a Council of Advice, we propose to intrust much real and substantial power to the board. I reserve until the bill is brought down further reference to this subject. ROADS IN NORTH ISLAND. I will now refer to the several great works authorised by the acts of last session and I will first call your attention to roads in the North Island." We propose to push on the construction of those main lines of road in native districts, which lines, when once fully formed, will constitute a permanent material guarantee for future internal whilst they will prove the means of civilising the Maori race, and of promoting the settlement of the North Island. It is obvious, on grounds of public policy, that, in the present circumstances of the North Island, an expenditure which is intended for the formation of roads through large native districts, some of which have been so recently the scene of war, cannot be pre-allocated with that accuracy which is observed in the case of expenditure on normal services. I will generally state how it is proposed to expend the £IOO,OOO available this year, but the committee should understand that circumstances may materially affect and change the proposed distribution. The road works proposed in the North Island are the further progress of the main lines from Waikato via Taupo to Napier, and from Taupo to Tauranga, the road through the Seventy Mile Bush connecting the East and West Coasts, and from the Manawatu Gorge to Masterton, from Wanganui to New Plymouth, from Wanganui to Taupo, from Waipa to Baglan, from Opotiki to Poverty Bay, from Waimana or Ohiwa to Waikarernoana, and thence to Wairoa. It is also proposed to spend £IO,OOO a year for four years in opening up aihd improving the roads connecting Hokianga and the Bay of Islands, and Waimate, Mongonui, and Ahipara, and in constructing a new line from the mainland of the Bay of Islands district to the Kaipara. Whilst on this subject, I may incidentally mention that, recognising as we do the reasonable ground of complaint which the Northern District has, on account of the small expenditure within its limits on publb works in the past, we propose to offer to the provincial authorities of Auckland to relieve them of the entire charge of the Kaipara Railway, conditionally on their providing by hm for an expenditure equally divided over the next four years, of £25,000 within the Northern District. It is also a question to be considered whether it would not be advisable that the Kaipara line should be extended to Auckland. RAILWAYS. I will now turn to the subject of Bailways. The two principles which we desire to regulate the construction of railways are those mentioned by my honorable friend the Colonial Treasurer in his financial statement —namely, first, that no railway should be constructed which does not promise at once to pay working expenses ; and secondly, that a power, in certain contingences, of local rating should be provided. I will divide railways iuto three classes, namely—Those which may be considered main lines ; those which may be considered feederbranches of those main lines ; and, thirdly, a distinct class, those having for their object the development of the coal mines of the country. The main line in the Middle Island is, in our opinion, that continuous line which would run from luvercargill, through Clutha, Dunedin, Oamaru, Timaru, and Christchurch, to the northern part of the Province of Canterbury ; also, we would class as main lines, the lines from Winton to Kingston, and from Nelson to Cobden. In the North Island, the main lines are at present the lines from Wellington to Napier and New Plymouth, and from Auckland to the Waikato. The feederbranches are those lines which may run into those main lines. It will be seen, in the return which I have laid on the table, there are already several projected feeder-branches into the main lines in the Middle Island. We think it would be advisable that the General Assembly should generally sanction the construction of the continuous main lines which I have mentioned, excepting that from Nelson to Cobden, which requires further inquiry; but that the Assembly should reserve to itself tbe power to specify from time to time the particular portions of those lines to be undertaken, and the terms on which they are to be undertaken. We propose to ask for immediate authority to construct, on the principle of guarantee,

the following parts of main lines, namely, from Invercargill to Mataura, from Moeraki to Waitakl, from Rangiora to Waipara, from Winton to Kingston, from Wellington to Masterton, from Napier to Ruataniwha, and from Auckland to Mercer, instead of to Tuakau as authorised by the Railways Act, 1870. We propose also to ask for authority to survey a line from Mercer to Cambridge, or to some other convenient frontier point.

It will be my duty when I bring the separate proposals before the House, to produce (in conformity with one of the principles to which I have already referred) the evidence which leads us to conclude that the several lines will pay working expenses. I have asked you to consider railways for developing the coal mines of the country as belonging to a distinct cla&s. A little consideration will show that they are exceptional in the nature of their traffic, as well as in their territorial belongings. Every province of the colony is interested in procuring cheap coal. Again there is already a case, and there may be others, of a mine being in one province or county, while the port or place of loading the coal is in another province ; and, therefore, it would be folly to attempt to apply to such railways a provincial or local rate charge. We propose that the cost of coal railways shall be made more or less directly, but not too immediately, on the mines to be developed. We also propose that the Board of Works shall, under certain circumstances, be empowered to render aid, in the shape of advances, upon satisfactory secu' rity, for the purpose of assisting in the development ©f coal mines. I shall reserve until the Public Works Act Amendment Bill is before the House, such further reference to this subject as may be necessary. In the meanwhile, I may state that we shall ask for immediate provision for railways from Malvern to Rolleston and from Brunner coal mines to Greymouth. We will also ask for provision to facilitate and secure the construction of the railway from Kawa Kawa coal mines to the place of shipment. We are of opinion that authority should also be obtained for the construction of the line from Nelson to Fox Hill (part of the Nelson and Cobden line), on the recommendation of the Board of Works that such part line would pay its working expenses. In respect of the whole of the line between Fox Hill and Cobden, we propose to ask for a money vote in order that its capabilities, and especially its mineral resources, may be investigated. It would also be advisable that the coal country between Mount Rochefort and the Buller should be examined, with a view to its development by means of railway communication. Including, then, the authorised Dunedin and Clutha railway, which it may possibly be advisable to have constructed (instead of by cash payments, as at present) on the guarantee principle, and the Blenheim and Picton railway, also authorised, the following is a return of the estimated cost of the parts, of main lines to be undertaben this year, and the annual liability of guarantee at 5£ per cent on account thereof: —

The estimated cost is the maximum amount, and it is probable that subsequent examination may in some cases considerably reduce it. We consider that the construction of these railways should extend over a period of five years, those portions which are likely to pay best being first completed. We propose, in the case of main lines, that if the revenues of such lines when constructed, and the special contributions made to the railway fund in their behalf, are not sufficient to pay the interest on their cost, any deficiency shall be recovered from the provinces within which the railways are respectively situated, or, if necessary, that a special rate shall be levied upon the persons in their vicinity benefited by their construction. We also propose, in the case of the lines from Wellington to Masterton, and from Napier to Ruataniwha, to take sufficient land as security. These lands we propose should be utilised as special settlements for the purposes of immigration, the proceeds to be credited to tbe railway fund on account of those particular lines. We also think that the Government should obtain immediate authority to construct a horsetraction or wooden railway between Manawatu and Wanganui; but with respect to other tramways between Masterton and Manawatu Gorge, and in the district between Wanganui and New Plymouth, we think the recommendation of the Board should be first obtained, and then the construction take place. These tramways being laid along the lines of projected railways, would constitute the preliminary part of their construction, and would ultimately, without difficulty or much increased cost, be converted into permanent railways. Tolls could be placed on such tramways to secure their remunerative working. With respect to feeder-branches, in the bill which we shall bring down, we shall define the machinery by which the residents in a district contiguous to a main line si railway

may come before the Board of Works with a petition for the construction of a branch line. The bill will also contain stipulations as to the extent to which it will be necessary the petition should be signed, and will empower the Government, on the recommendation of the Board of Works, to authorise the construction of a feeder-branch, on the condition that the residents in the district shall be subjected, if necessary, to a local rate, to cover a certain fixed proportion of the annual charges consequent upon the construction, of such a branch. WESTLAND ROADS. The Government will continue to apply the" portion of the Middle Island Railway Fund' available for Westland on main roads in Westland, as provided for in the 11th section of the Public Works Act of last session. The amount so available last year was £8,870, and this year it will be about the same. The following is a statement of the roads which the Governor in Council, as authorised by that section, has prescribed as roads for that purpose, of their estimated cost, and of the amount expended or contracted for up to this date:— Estimated cost of line from Greymouth,inland by way of Otumutumutu, Marsden, Nemona, Hohonu, Goldsborough, Staffordtown, Hokitika, and Kanieri to Ross, £35,000; amount expended or contracted for, £6OOO 6s 7d. Estimated cost of line from a point on the above road about three miles east of Goldsborough to join the main road to Christchurch, at or about the seventeenth mile from Hokitika> £3000; amount expended or contracted for, £lO2 18s. Tenders for this work have been received, but in consequeuce of their being excessive, they have been declined and fresh tenders advertised for.

The question next in importance to the determination of the railways to be constructed, and the principle (guarantee or otherwise) on which their construction is based, is the contract for that construction. The Legislature last session evidently favored the principle of guarantee, and the adoption of that principle in a new country with limited means, and with large claims on those means for immigration and other essential purposes, seems to be & prudent course. But if the guarantee principle is adopted, it is indispensable, with a view to economy, efficiency, and despatch in the construction of the works, that the contract should be made with persons possessed of extensive means and credit. To give the Colonial guarantee to the lowest bidder, or to speculators without means and with no capital at command would be false economy, and lead to delay, confusion, and probable collapse. In cases of cash payment, private contract need not, and as a rule should not, be resorted to; but where a guarantee of interest is to be given, it is, I believe, the invariable practice, and one no doubt adopted on strong grounds, to select and make private arrangements with contractors of repute and responsibility. With that view, my honorable friend tbe Colonial Treasurer, when he was in London, anxious to give the best practical effect to the Railway Act of Jast session, which required in nearly all instances the guarantee principle, entered into two alternative contracts with the eminent firm of the Messrs Brogdcn, for the construction of railways in New Zealand. Contract No 1 is, as will be seen from its terms, subject to the confirmation of the Legislature, and embraces in its scope the whole railway system contemplated in the Public Works Acts. Contract No 2 is in effect confined to the construction of the railways already authorised. After careful consideration, the Government are of opinion that contract No. 2 should be so far extended as to embrace the construction of the railways already authorised, and which this session may be authorised, on the principle of guarantee. It will probably be also necessary to somewhat modify the terms of the contract. As Mr Brogden may soon be expected to arrive in New Zealand, a favorable opportunity for such modification will occur, and the House will be invited to entrust to the Government authority for that purpose. Tbe Government will state the limits of the modifications which they propose to entertainI may say that, after careful consideration, we have arrived at the conclusion not at present to make payments for railways in land. It may in thd future be desirable to make such payments ; but, in the meanwhile, we desire to put to the uses of bona fide settlement the land which may be acquired. The Government, then, will propose to the House that the smaller contract with Messrs Brogden shall be accepted ; subject, however, to the Government being empowered, at their discretion, to substitute therefor a contract for railways costing in the whole not more than £1,500,000 or £2,000,000 ; and subject also to the condition that, under such enlarged contract, no land shall be given except for the purpose of settling immigrants, and for that purpose only to such an extent as will permit of 20 acres being set apart for each able-bodied adult male immigrant introduced. The Government will propose that the railways to be constructed under the enlarged contract shall be only such as are from time to time by law authorised to be constructed ; and that the contract shall contain provisions for purchasing the lines with debentures, at some time after completion. LANDS THROUGH "WHICH RAILWAYS ARE TO PASS. The attention of the Government has been anxiously given to the importauce of facilitating the acquisition of lands through which it is necessary to carry railways, and provisions lor the purpose will be contained in one of the bills which it will be necessary to introduce. Whilst no one would desire to see the owners of landed property placed at a disadvantage on account of portions of their land being required for railways, yet it is necessary the ler gislature should protect the colony against extortionate demands.

GOLDEIELDS WATER SUPPLY. The next part of the Immigration and Public "Works Act relates to Goldfields Water Supply. There is no work in respect to which the Government should proceed with more caution. Not only will it be very difficult to decide upon the nature of any particular watercourse, but there will in each case be uncertainty as to the auriferous character of the lands through which the water is to be conducted. A very valuable report, with a digest of evidence appended, has been furnished to the Otago Provincial Council by the Ihon member for Wakatipu, Mr Haughton. We concur generally in the conclusion of that gentleman, that it will be better for the Government to assist private persons, after proper investigation, than to undertake these works without the aid of private enterprise. We shall, therefore, make to the House proposals for enabling money to be advanced, on the recommendation of the Board of Works. There are, however, some works which it may be desirable for the Government wholly to undertake, especially the works required for supplying the Thames goldfields with water. LAND PURCHASE. With respect to Part IV. (Land Purchase) of the Immigration and Public Works Act, I have no change to announce in the policy of last session. The Government will continue to try to acquire for the Crown large tracts of land for the purposes of settlement. Already, as I have stated before, the sum placed under this head at the disposal of the Government has enabled a fine tract to be purchased in the Provinces of Wellington and Hawke's Bay. IMMIGRATION. I I now approach the subject of Immigra-| tion. We regard the introduction and settle-» xnent of a suitable proportion of immigrants in each province as an indispensable complement to the construction of such public works as may be authorised within such province. The one is the co-ordinate of the other, and the concurrent action of both is essential to the development of the great policy of colonisation which the Legislature has directed to be prosecuted. We propose to take for the current and next financial year, for immigration, the sum of £250,000. The period is extended to two years, as the necessary arrangements and contracts which will have to be entered into render it indispensable that they should not be confined to so short a space of time as one year. We propose that the Board of Works and Immigration shall have the entire charge of immigration, including making provision for the immigrants on arrival, and subject only to a general power of direction and of veto on the part of the Minister for Public Works. As already stated, we propose that land shall be used for the purpose of settling a proportion of the immigrants. Where lands are taken as security for the cost of constructing railways, those lands will be available for the purposes of settlement. But in the portions of the country where the land fund itself is the security for the railways, we propose that compensation shall be given for the land taken. TELEGRAPHS. In the Immigration and Public Works Loan Act a provision of £60,000 is made for the extension of telegraphs, but, from the absence of allusion to that work in the Public Works Act, and because there is a special department for telegraphs, the administration of that fund is not under the supervision and control of the Minister for Public Works. It may be allowed to me to state that every effort will be made, and I believe now with a good prospect of success, to connect Auckland and New Plymouth with the South; and that then the telegraph will be pushed, so far as our means admit, into other districts in which its extension is required. ROAD BOARD SUBSIDIES. As already explained by my colleague, the Colonial Treasurer, we propose to charge upon the Immigration and Public Works loan £IOO,OOO, for subsidies to be paid this year to road boards. The attention of the House will be separately directed to the proposed distribution of that sum ; and information will be supplied as to the distribution of the £50,000 voted for the same purpose last year. I take the opportunity of expressing my strong conviction that these payments to road boards have not only been most acceptable to the agricultural districts of the colony, but that they have largely been the means of removing the discontent which was stated formerly to exi*t amongst what were known as the " outlying districts," and that an efficient system of road boards is as necessary a complement to the general policy of immigration and public works as veins are to the arterial circulation of the body. I have to thank the House for their indulgent attention to my statement. The importance of the subject with which it has dealt, eannot be over-estimated, for we are now leaving the theory and entering into the practical administration of a vast colonising work. It rest? with this House to prescribe the positive conditions on which that administration is to proceed, and imperatively to determine that it shall be characterised by frugality, prudence, and foresight; and, that the money placed at our disposal shall not be wasted, but wisely expended in useful, permanent, and reproductive investments.

Lines. 3 Estimated Cost. Annual Liability. £ £ Auckland to Kaipara... 17 46,000 2,530 Auckland to Mercer ... 47 211,500 11,632 Napier toRuatauiwha... 53 159,000 8,745 Wellington to Masterton 70 340,000 18,700 Nelson to Fox Hill ... 21 77,000 4,235 Blenheim to Picton ... 20 70,000 3,850 Rangiora to Waipara... 20J 87,000 4,785 Moeraki to Waitaki ... 40-| 162,000 8,910 Dunedin to Clutha 51 229,500 12,622 Invercargill to Mataura 40 100,000 5,500 Winton to Kingston ... 69 207,000 11,385 Total 449 1,689,000 92,895