The Waikato Argus GEORGE EDGECUMBE, Proprietor. TUESDAY, JULY 4, 1899.

Waikato Argus, Volume VII, Issue 456, 4 July 1899, Page 2

The Waikato Argus GEORGE EDGECUMBE, Proprietor. TUESDAY, JULY 4, 1899.

Vested interests only too often stand in the way of progress. The deputation headed by the Marquis of Tweeddale, a cable report of which wo publish in another column, is one more evidence of the facl. The Marquis was the representative of the Eastern and Eastern Extended Cable Companies, of course have a direct monetary interest that the construction of the proposed Pacific Cable shall not take place, and urge that the probable traffic would not justify its construction, aud that it would be an injustice to the existing companions which serve the Australasian colonies. On the other hani Canada and the colonies consider that the Imperial Government's promise is so limited as to justify the opinion that they was retarding and crippling the commerce of the Empiro in the interest of a few rich monopolists. It will be remembered that the proposal of the Cable Committee was that the Imperial Government should find a proportion of the capital for the construction of an " all red " cable. This, they have refused to do, but have proposed that the colonies concerned shall raise the money, construct the cable and work the line, that the cable shall be made in accordance with Imperial specifications, the rates be subject to Imperial approval.that yearly accounts be submitted to the Treasury and _ that Imperial messages shall have priority at a charge of half rates for transmission over all other messages. In return for these advantages tholmperial Government undertakes to pay, subject to a maximum of £20,000, fiveeighteenths of any amount by which the net receipts shall fall short of the amount of the expenses. The Cable Committee calculated that the revenue would more than cover expenses in ' three years. Assuming that these calculations are too favourable and that the balance of expenditure and revenue may be deferred for a longer

period, say five years, it has been variously estimated that the Imperial Exchequer may bo called upon to pay from £3OOO to £15,000 per annum. At the end of the period it will 'pay nothing. This to our mind is far from a liberal offer. The advantages claimed are for liability to what i 9 after all only a problematical payment; The colonial governments have protested against this illiberal treatment, and pressure has been brought upon the Imperial Government to amend the terms. Tho consequence of this pressure has been the deputation headed by the Marquis of Tweeddale, the representative of existing cable companies. It is difficult to believe that the paucity of assistance offered and the disproportionate concessions demanded aro not the result of powerful pressure by these two companies. The advantages to the Empire which would accrue from the Pacific Cable are disputed for the first time by the Marquis of Tweeddale. It is gratifying, however, to find that the Chancellor of the Exchequer and Mr Chamberlain stood to their guns, and not only defended the righteousness of their actions, but in addition pointed out that the Government by granting subsidies to the companies he represented interfered with private enterprise, one of the objections raised by the deputation. It is to be hoped that the Imperial Government will amend their terms in favour of the colonies and provide a fair proportion of capital, in addition to beariug a fair share of the risk of loss on working. In any case the interests of Canada and the Australasian colonies are involved to a degree that will compel them to construct the cable with or without the assistance of the Imperial Government. It appears to us that if better terms cannot be secured that the colonies and Canada should do the work and retain full control. The near approach of Federation makes this much more feasible than has hitherto been the case.