A.—No. 4,

No. 4. Lieut.-General Sir D. A. Cameron to His Excellency the Governor. My dear Sir George,— Auckland, sth January, 1865. Not having yet heard how the question between you and the Ministers regarding the employment of troops at Taranaki and Wanganui has been settled, I hardly know what information to give the authorities at home ; but if the instructions I have already received from you on the subject remain unaltered, I suppose I shall not be wrong in stating to Earl De Grey that there is no prospect of an early reduction of the force or of the military expenditure; indeed if the extensive scheme of confiscation, road-making, &c, contemplated by Ministers (in which I do not know whether you concur or not) is to be carried out, I think we ought to apply at once for reinforcements. I have, &c., D. A. Cameron, His Excellency Sir George Grey, K.C.B. Lieut.-General. No. 5. His Excellency the Governor to Lieut.-General Sir D. A. Cameron. Sib, — Government House, Auckland, 6th January, 1865. Upon the 16th ultimo, I addressed you upon the subject of the operations I proposed should be undertaken between Wanganui and Taranaki. I yesterday received from my Eesponsible Advisers a Memorandum, of which I enclose a copy, in relation to those operations, as pointed out in my letter of the 16th ultimo, which letter was written with their concurrence, and after I had held several consultations with Mr. Weld and yourself. As the enclosed Memorandum refers to opinions you have made me acquainted with, and which T concur in, 1 have thought it right to fupnish you with a copy of it. So soon as I receive from my Eesponsible Advisers their plan for raising such a force in the Colony as will meet the requirements of the Colony, to which they allude in the enclosed Memorandum, I will again address you in reference to my letter of the 16th of December. I have, &c, Lieut.-General Sir D. A. Cameron, X.C.8., &c, &c., &c. G. Gret. Enclosure to No. 5. MEMOEANDUM by Ministers. Ministers respectfully bring under the consideration of His Excellency the following points in reference to the proposed operations between Taranaki and Wanganui. They desire to express their views as to the character of those operations, —the objects for which they are undertaken, —and the extent to which military aid may in their opinion be advantageously afforded. They consider it indispensable to the permanent safety of Taranaki, and therefore to the general pacification of the country — Ist. That a passable military road should be opened between Taranaki and Wanganui as soon as possible. 2nd. That the settlement of New Plymouth should be strengthened and extended both north and south, by the location of settlers on land continuous with the present settled blocks. 3rd. That Wanganui should be strengthened towards Waitotara in a similar manner, and further by the establishment of a strong post and settlement at Patea. 4th. That one or more strong posts (with a view to future settlement) should be established between Patea and Taranaki, in order to keep the road open. The large majority of natives in this district are, and always have been, amongst the most lawless and turbulent of the native population. They have committed the worst and most unprovoked outrages on the settlers, and are now in a state of open armed rebellion against Her Majesty's authority. There can be no permanent peace until these natives are reduced to submission and their country opened. The extent to which military aid may be given in these operations must be determined by His Excellency and the Lieutenant-General. Ministers are very anxious that the proposed operations should be carried on with vigor, and advanced as far as possible this season; but thevwish it, however, to be distinctly understood, that, in their opinion, no steps should be taken which may necessitate delay in the reduction and final withdrawal of the troops from the Colony. They do not believe that the employment of Her Majesty's troops would be beneficial if attended with any such results. Subject to this, it appears to Ministers, that so long as the troops remain here they may be employed advantageously for the purposes above indicated. From circumstances which need not be adverted to, but over which the present Ministers had no control, the Colony is unable to provide for a heavy expenditure. They contemplate, however, employing npon the roads the labour of friendly natives—say 200 at each end —besides such strength as the Provincial Governments of Wellington and Taranaki may be enabled to add. Beyond this the means at command will not enable them at present to go ; but it would be desirable, in order to expedite the work, that the soldiers themselves should be employed upon the roads, receiving additional pay iipon a fair and liberal scale. If arrangement were made, Ministers would be prepared to hand over an adequate amount of Colonial debentures to cover such charges. The superintendence and direction of the road-making would then be arranged in concert with the military authorities. Ministers are of opinion, that before operations are commenced a Proclamation should be issued, announcing distinctly His Excellency's intentions. Ministers are aware that there is a seeming inconsistency in stating that active operations are necessary for the safety of Taranaki, and at the same time requesting that such operations should not be undertaken by the troops if, by so doing, it would retard their departure from the Colony. Ministers, in their recommendation, have taken it for granted that a considerable number of the

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