SATURDAY, JUNE 22, 1878.

Waikato Times, Volume X, Issue 936, 22 June 1878, Page 2

SATURDAY, JUNE 22, 1878.

Thb railway returns of the col< ny are a subject of so much importance that they deserve something more tban a passing- notice. In former sessions, and notably in that of 1875, Colonial Treasurers have been wont to expatiate upon the very important feature in colonial revenue, which such returns would present, ana that too a,b au early date. If these somewhat sanguine predictions have not been literally fulfilled, the colony has no cause to l'egret having entered so extensively as it has done on the construction of railways. The table of the railway's working account, recently published by the Government, for the financial year, 1877-78, to the termination of Hie four weekly periods ending April 6th, shows that on a length of lines open for traffic to the extent of one thousand and one miles there has been, omittiug shillings and pence, a total expenditure of .£299,237 as agninpt a total revenue of <£403, t 583, that is a profit for the year of <£I(H,34G} or taking the average co3t of our railways at .£6,000 per mile, after all expense, a return of something like 1£ per cent, upon the cost of construct ion. Considering that many of these lines are incompleted, mere fragmentary works, that others in whole or in part have been only recently opened, we cannot but look with satisfaction on an average return of one and a half per cent upon our railway expenditure. If we refer more particularly to the returns we shall find that as a rule the lines are worked at a profit. The Kaipara, Wanganui, New Plymouth, "Westport, and Picton sections are those worked at a loss, but a total loss for the year of not more than .£2,500 altogether. In Canterbury, which has 387 miles of line open, the railway has been worked at an annual profit of £200 per mile, and in Otago, where there are 105 miles opcne(.l ? .£3OO per mile The s-c-ile of profit is, howevpr, progressive, as may be seen by the returns for our own railway. TUq Auckland pection for the who'e. of the litu financial year has been worked at tho small profit of £5,695, or £07 profit j.e.* mile ; the years' expenditure being £21,194.- as against a total revenue of £20.889 ; but since the extension to Hamilton, and ag lin to Ohanpo the- profits have very

largely increased and so doubtless swill li'ive been the caso in other 'parts of New Zealand.

If; is u V, lio.veA'er, by (heir dii'oqt returns alone that the value of the railways to (he colony is to be estimated. The percentage, com pnrativelv small as it is, is so-vne-liinrr off' i lie burden of iheir o-jst, but; ifc is the indii*t*ct benefit to co'o:)i-sa-f.iou they afford to winch we look for the chief and more immediate return. And this the cilony lius experienced from one end of it lo tho oMier. The railways have mads laud • available, which till th<\y were constructed had no nr.\ctical valti/e, beiuuf sliufc out from a market and consequently from settlement, but whe.ro Hues have boen constructed a value has been given to whole tracts of country which they did not before possess, not a mere fancy value for purpose of speculation, but an intrinsic value for actual present use and production. If the cost of our railwavs has added some millions to thb colonial debt it has at the same time added many millions in actual productive value to the landed estate of the colony. Nor is this altogether a matter of private gain, for the overflowing exchequer is the result of increased sale of waste lands of the Crown, the demand for which has been created by the facilities for settlement afforded by the construction and opening 1 of these railways.