Copy of a Despatch from Governor Grey to Earl Grey. Government House, Auckland, March 16th, 1848.

New Zealand Spectator and Cook's Strait Guardian, Volume V, Issue 382, 31 March 1849, Page 3

Copy of a Despatch from Governor Grey to Earl Grey. Government House, Auckland, March 16th, 1848.

My Lord — I beg to state, for your Lordship's information, that in my recent visit to the Southern Settlements, an opportunity offered of my examining a portion of the country lying in the vicinity of the Port of Otago, at which I understand a Settlement is to be formed ; indeed, I am informed that the first emigrants are already on their voyage from England for the purpose of occupying this locality. I am happy to be able to state that I have never seen any locality which appeared to me better adapted for the occupation of British settlers ; and, from the fertility of the soil, the depasturing of sheep and cattle, and its general remarkable advantages, there can be no doubt that the southern portion of the Middle Island offers prospects of the most cheering kind to the intending emigrants, of whose ultimate success there can be no doubt. The distance of this part of the Middle Island from Wellington, leads me however to apprehend that the early settlers at Otago, and in its vicinity, will experience considerable disadvantages from the remoteness of the seat of Government, which will be situated in the Northern Island ; I would therefore suggest to your lordship, that should there be any probability of a large number of settlers pro* ceeding to Otago, it would greatly promote their prosperity, and increase their chance of escaping the difficulties which young and distant settlements have generally to undergo, if her Majesty would authorize me to proclaim the creation of a third province in the New Zealand Islands, embracing in its limits about half the Middle Island, together with Stewarts Island, and the dependencies of New Zealand lying to the southward of that island. By the recent Charter, her Majesty is empowered to create such a province, and a provision has been made for reserving from its revenues a civil list of six thousand pounds per annum, which, under judicious management, would suffice to pay the salaries of the Lieutenant- Governor and the chief civil officers, together with a considerable portion of the incidental charge of the Government, and I believe that, with the advantage of possess-

ing from its earliest days the presence of an efficient local Government, the progress of the settlement, formed in this southern province, would be so rapid that it would shortly yield a large surplus revenue. It will be seen from Lieut.-Colonel Banbury's report to Governor Hobson, of the 28th June, 1840, that this officer, even at that date, fully reported the apparent capabilities of the southern portion of the Middle Island, and my own observations lead me entirely to concur in his views ; in fact, I have never seen a country better adapted for the reception of immigrants, my only apprehension is the distance of this point from the seat of Government ; from which cause I fear that very serious inconveniences, perhaps disasters, may spring. I have stated these views to the New Zealand Company's Principal Agent, as embodying my only objection to the formation of the proposed new and distant settlement, and I at the same time acquainted him that I would bring under your Lordship's notice the subject of forming that portion of New Zealand into a separate province. I ought further to state, for your Lordship's information, that I think the adoption of this measure would be very beneficial to the whole of New Zealand, as there would then be no portion of these islands which would be removed beyond the efficient reach, and constant control of government, a circumstance which, looking to the nature of the New Zealand coast line, and the facilities which this affords for smuggling, and at the same time considering the varied and peculiar nature of our population, is, in my belief, a matter of the utmost consequence to the peace and prosperity of all the settlements in these islands. Should your Lordship, upon a review of all these circumstances, determine upon adopting this measure, you may feel quite satisfied, that the settlements established in the southern portions cf New Zealand, if they are judiciously managed, will be extremely prosperous in themselves, and will tend greatly to promote the interests of the colonies already established in other portions of these islands. I haye, &c, (Signed) G. Grey.