21

D.—l

Telegraph Extension. The expenditure out of loan on account of telegraph construction, and for the extension of telephone exchanges throughout the colony, amounted during the last financial year to .£16,292; and of this sum an amount of £8,999 was expended on the telephone exchanges, making their capital cost at the close of the year £72,365. Of the new lines erected during the year for the extension of telegraph communication the most important are those to Waipiro, to Kaitaia, to Kuaotunu, to Waikoikoi, to Ararimu, and from Makaretu to Ongaonga, from Charleston to Addison's, from Queenstown to Glenorchy, and from Lumsden to Mossburn. In all these extensions the lines have been brought into operation by means of telephones. In the estimates for the present year's expenditure provision has been made for a second wire from Mohaka to Wairoa, and for extensions of lines from Makaretu to Ashley-Clinton, from Maraekakaho to Hastings, from Gimmerburn to Eweburn and Naseby, from Eiccarton to Christclmrch, from Geraldine to Woodbury, from Christchurch to Taitapu, from Kawakawa to Towai, from Auckland to Pakuranga, from Karangahake to Waihi, from Wellington to Petone and Hutt, from. Marton to Hunterville, from Feilding to Awahuri, for the reconstruction of the Charleston line, and for an additional wire from Westport to Reefton. CONCLUSION. After having enumerated the various railway and other works upon which we purpose to expend the moneys available, I feel certain that I have not given satisfaction, but that the dissatisfaction will have arisen not so much from the manner of the distribution, as from the fact that the moneys available are so small and the wants so great. However, the amounts now proposed to be appropriated must be regarded as merely instalments on account, and as moneys are from time to time available from the conversion of our loans and other sources, so our public works can be extended and completed. It is the intention of the Government to place the works to be gone on with in hand as expeditiously as possible, so as to get the greater part of the same done in the summer months. The work will thus be done much cheaper, and by being placed in the market at once will provide the much needed employment for our working population.

4—D. 1.