Proposed Steam Service.

Patea Mail, 30 August 1882, Page 3

Proposed Steam Service.

OFFER FROM N.Z. SHIPPING CO. The following offer has been made to Government by the N.Z. Shipping Coy., and the price asked is less than is paid for the present service via ’Frisco : Wellington, Bth August, 1882. Sir, —Adverting to the letters which I have already addressed to the Government on this subject, I now do myself the honor to intimate that this company is prepared to enter into a contract with the Government to provide a monthly steam service between London and the colony and vice versa, for a subsidy of £30,000 a year, being £2500 for each round voyage ; the steamers to be employed to bo in all respects suitable for the conduct of a passenger and carrying trade, with a sea-going speed of eleven knots an hour, and to be of not less tonnage than 3500 tons gross, builder’s measurement. Such boats, it is contemplated, will make the voyage in 50 days. The duration of the contract to be five years, and during its continuance the immigrants introduced by the Government, and all Government cargo to be conveyed by the steamers and sailing ships of this company’s line, at rates to be mutually arranged. It will necessarily take some time to build the steamers needful for the service, bnt in the event of this offer being accepted, we will forthwith cable to London to expedite contracts, and in the meantime, if a prompt commencement of the service is desired we will do our best to provide by charter or otherwise, steamers as suitable as can be obtained.—-H. J. L. Coster, Chairman and Managing Director. DISCUSSION IN PARLIAMENT. In the House on Monday, Mr Johnston moved (1) That it is not expedient that an attempt should be made for the present to establish a direct steam postal service between England and New Zealand, as the large subsidy which would necessarily be required would more than counterbalance the advantages. (2) That the San Francisco mail service now in operation should be extended for two or three years, if the cost of extension does not exceed the present cost to the colony. (3) That it is of importance that there should bo a monthly passenger and mercantile steam service established between England -and New Zealand by suitable steam vessels. (4) The length of voyage each way should not exceed 50 days. (5) That any contract should not be for more than.3 years. (C) That the cost of such service to the colony should not exceed £40,000 per annum. (7) The Government are hereby authorised to take the necessary measures to give effect to these resolutions. He said it was found that a subsidy of £160,000 would be required for a service to be performed in 30 days, and that was considered too much at present. Power to renew the San Francisco service was asked, subject to an arrangement that might be made with New South Wales to defray part of the cost. At present New Zealand paid £5350(?) for this service, and they asked the power of renewal on the understanding that the amount would bo about the same as at present. The mercantile service referred to would be of great service in developing the trade of the colony and encouraging passenger traffic. Mr Dargaville moved, as an amendment, that power be given to the Government to make term 5 instead of 3 years, for the renewal of the San Francisco contract. The resolution, as printed, was carried on a division of 52 to 22. Mr Shrimski moved the amount of the subsidy be £20,000 instead of' £40,000. Mr Johnston said the N.Z. Shipping Company offered to carry on the service for £30,000, but wanted a long term. It would be bettor to give more for a shorter period. The route and ports of call would bo left to the contractors. Several amendments were proposed,

but ultimately the £40,000 was struck out on a division by 46 to 30, ami £20,000 inserted by 58 to 18. Mr Fish’s suggestion, that tenders to bo called for the service, was agreed to. The above resolutions were carried in committee, and wore afterwards adopted by the House. The position now is that the Government will invite tenders for a three years service, at a subsidy of £20,000 a year.