¥.— 2

8

more business than Victoria on the New Zealand cable. It would not, therefore, be a fair portion for this colony to pay one-quarter. Moreover, this colony pays the larger share of the loss on the guaranteed revenue to the Tasmanian cable, while the other colonies benefit by the reduced rates without contributing to make good the loss. I cannot concur in contributing to the New Zealand cable subsidy unless both subsidies are thrown into a general fund." In sending you foregoing reply, may mention that New South Wales has never previously been asked to contribute Tasmanian cable, and, of course, no time now to do so. J. Noeton, The Postmaster-General, New Zealand. Postmaster-General.

Authority: George Didsbubt, Government Printer, Wellington.—lBBs.