PETROLEUM.

Poverty Bay Standard, Volume I, Issue 89, 20 September 1873, Page 3

PETROLEUM.

In the House of Representatives Mr. W. Kelly asked, whether the Government will favorably consider the advisability of giving a bonus of £2,000 for the first 10,000 gallons of rectified oil produced from any of the springs now existing in the Colony? The honorable gentleman said he asked the question because the Government had already intimated their willingness to encourage efforts for the establishment of local manufactures and industries. There were several oil springs on the East Coast, extending from Poverty Bay to the East Cape, some of which were of considerable importance. A company hud been started to work one of the springs in the district from which he came, but great drawbacks were experienced from the want of capital. He thought that if something were done in the way of granting a bonus, as suggested in his question, it would encourage the company already existing, and lead to the formation of others. The expense attending the development of an industry of this sort was necessarily very large, and he thought the companies were deserving of some assistance from the Government. There was no doubt that the successful carrying out. of the companies would result in very beneficial results to the Colony. Large sums of money were sent out of the country annually for oil, and he had little doubt that if assistance were given, in a very short time the Colony would be producing a sufficient quantity to supply its own demands.

Mr. M'Lean said the Government recognized the advantage of assistance being given to local industries in the way of small bonuses, but the bonus applied for by the honorable member, instead of being a small one, was a very large one indeed. It would at any rate be far more than commensurate to the advantages likely to accrue to the colony. The matter was one which might very properly be referred to the Local Industries Committee, which could make inquiries into the whole subject, and report to the House. Upon their representations, if they were favorable, the Government would be very willing to consider w-hat assistance could be given to an industry of the kind. He might state, however, that they would not be disposed to give assistance to the extent asked for by the honorable member.