THE PARAPARA IRON ORE LEASE.

Taranaki Daily News, Volume XLVII, Issue 8123, 31 May 1906, Page 2

THE PARAPARA IRON ORE LEASE.

PROTEST AGAINST CLAUSE 14.

IEQUESTS FOR ITS ELIMINA. TION.

There was it very kr„'eaud reprcsentative meeting in th" Town Hall on Wednesday uiglit, callc.l by His Wor ship tlvc Mayor, in ro.lp3.Mc to a request from the Tar.i i iki Chamber of Commerce. Mr H. Ibckrill, Mayor o' New Plymouth, presided, and with him on the platform was Mr N. J. King. Mayor of Stratford. After reading the advertisemoni calling the meeting, His Worship referred with pleasure to the vory large attendance, si lid extended a ver/ hearty welcome to tlio Mayor of Stratford, whose presence showed th it Stratford took a deep interest in thu iron industry. Other parts of Taranaki were equally interested, and alive to their interests. He could hardly imagine any right-thinking man who took any othor viow than that the Parapara iron ore lease should be amended, m order to assist the development of the iron industry in Now Zealand. Anything that would prevent the flotation of this New Zealand Iron and Stool Company was bad for Taranaki, as the Taranaki ironsand leases wero so connected with th' leases of the foreshore and iron ore deposits at Parapara. If the Parapara leases were to be worked, our ironsand industry would follow j if the attempt to devolop Parapara failed, Taranaki's industry would fail also. At this stage Mr Dockrill apologised for the absonee of Messrs 0. Samuel, J. Paul, J. B. Connett, M. Fraser, and J. C. George, and extendod a weloome to Messrs E. M. Smith and W. T. Jennings, M's.H.R. Letters were read from the Hawora Borough Council, the Mayor of Inglewood, Mr W. Symes, M.H.R. for Patea, andtbo Chairman of the Opunake Town Board, as samples of the encouraging correspondence received in answer to a circular issued, ; Continuing his remarks, the Mayor ! said it occurred to him that there was , no justification for the insertion of Clause 14. The leaso granted to the promoters of the present company did not include the whole of the irou-producing country—there was any amount of room for another company or for the Government to establish other works and competo against this company. Ho oxpressed the opinion that private enterprise was better than the Stato for developing these iron deposits. Speaking for himself, he said would not feel inclined to invest money in an undertaking hedged by conditions such as contained in Clause 14, which gave the Government tho right ta step in and secure the fruits of the investors' enterprise, Mr W. Ambury, President of the Taranaki Chamber of Commerce, said he had failed to find any excuse for the insertion of this clause. There were 30,001) acres of the sort of country leased to tho lato Sir Alfred Cil nan, who had only 020 acres. That did away with any fear of monopoly. Ho read same of the conditions of the loase granted by Parliament. First of nil, £IOOO had to bo deposited to secure the lease, for which £ll2 per annum had to be paid in advance. For every six months which elapsed between the date of the lease and the commencement cf the works, the lessees had had t to forfeit £IOOO, so the meeting could . see the present delay was expensive. The lessees wore compelled to spend 61000 in the first year of working. ' 61000 in the second yoar, £SOOO , in tho third and every success j sive yoar until £50,000 hud been spent. To date £15,000 had been expended. Supposing the company were formed •o exploit these deposit", and proceeded to expend £30,000 on their wharves, 610,000 on roads, erected their works, put a plant in working order, and di. • covered that iron and steel could be produced in payable quality and quantity, then the Governmont could at that stage step in and take the whole thing, " lock, stock, and barrel," at a prico to be paid by arbitration. It was this clause 11 which now formed the only obat iclo in the way of floating the company, which had increased its capital to allow of work being commencod simultaueously at New Ply. mouth and Parapara, and those in a position to speak authoritatively at Homo wero omphatic in their statements that thoro was ample capital available when ouee this clause was suspended or eliminated. Every man interested in the development of Taranaki, and of New Zealand as a whole, should support the following motion, which he proposed; "That this meeting, representing the interests of tho Taranaki Province and supported by its members in the Legislature, respectfully points out to the Governmont that it is apparont that Clause 14 of tho Parapara leaso grantod to Sir Alfred Cadman is so framed as to inevitably defeat tho wl\olo object of the lease and prevent tho possibility of anyone holding it succeeding in establishing ironworks in Now Zealand; that the area comprised in tho lease, 920 acres, is not sufficient to raise any real danger of monopoly, especially in view of the much largor area of the iron reserve still unloascd as well as the enormous quantity of Crown lands in tho district which contain hills rich in ore ; and respectfully urges the Gov-

crnmcnt to take such immediate action | as miiy rosult in freeing thelesseo from I the disastrous effect of the clause in-, [sjrtod in t' o lease, thereby fosto,ring instead of preventing tho development of an industry that may prove of incalculable value to this Colony ; and that a copy of this resolution be sent to tho Government, and to the Nelson Chamber of Commerce and Collingwood County Council." Mr Newton King seconded, and addod that this venture was to a

degree hazardous. Under these conditions the Government should not have placed this obstacle in the way. The capitalists who put money in should be allowpl to reap the benefit. He could not imagine the Government granting a compassionate allowance it the company wore unsuccessful. MiKing said it was impossible to fully realise tho vast benefits that would accruo to New Zealand from the establishment of ironworks at Parapara and New Plymouth. Mr E. M. Smith, M.H.R., related

that " Clause 14 " was inserted in th e Bill at the instance of Mr H. G. En M.H.U., an advanced Socialist. When that amendment was moved i n House he (Mr Smith) felt " half inclined to rush at him and turn hi m ollt of the Chamber." Fancy a Labor mombor miving in this way to block the establishment of animp lr t ta t; industry ! The speaker said he had worked his hardest, but had failed to prevent the clause being included. Mr Smith reviewed the history of the attempts made by him and his col. leagues at various times to establish the New Zealand iron industry. Mr King (Stratford) assured the

meeting that they could depend on substantial support from Stratford. (Applause.) "That clause must be eliminated," he said, "or the British capitalist won't touch the irou industry in this colony." Mr W. T. Jennings, M.H.R. for Egmont, spoke very strongly against the ideas of the extreme Socialists who would rather soo the ironsand and ores romain undeveloped than allow British capital to come in and assist our growth. Tfic object of this meeting had his hearty sympathy, and ho said he,had received numerous expressions of up. proval from tho way-back portions of his electorate.

Tho motion was carried without dissent.

On the motion of Mr N. J. King (Stratford), seconded by Air 15. M? Smith, M.H.R., it was rosolvcd, "That if the Nelson Cflllingt wood_ petitioners find it iiec«ssary to send " a deputation to Wellington to mU'i'vii'W the Government on this vital question, this moeting will arrange to send delegates to strengthen tho deputation ; and Hint q copy of this resolution be sent to the Nelson Chamber of Commerce, and to tho Collingwood QQlWty OQUftcil,"