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No. 93. The Chaieman, Westport-Cardiff Coal Company, to the Eailway Commissioners. Gentlemen, — Westport-Cardiff Coal Company (Limited), 24th July, 1894. I am in receipt of your letter of yesterday's date, and note that you have no further proposals to make respecting the question of rates over the Mokihinui Company's line. In order, if possible, to arrive at something definite, I now beg to submit the following proposals for your consideration, viz.: — 1. As to charge for " way-leave " : I propose to value the section of line to be used by my Company at £10,000, we to pay half the amount of interest on that sum at the rate of 7-per cent. per annum, without bringing into account the proportion of earnings from goods and passenger traffic. For this sum or payment "way-leave" to be given to us by the Mokihinui Company for passage of our coal to the extent of 50,000 tons for the year, and for all over that quantity to pay the Mokihinui Company a halfpenny per ton. 2. With regard to " haulage " : The Commissioners to charge a through rate from our bins to Westport on the present tariff in force on the Westport Section —viz., Is. lOd. per ton for the first eight miles, and fd. per ton per mile for the remaining mileage. 3. The agreement to remain in force for twelve months, and thereafter to be subject to revision. I shall be glad to have your reply, if convenient, to-day, as I am anxious to leave Wellington as early as possible after settlement of this matter. I think it very unlikely that we shall turn out the quantity of coal I have named—probably not half—in which case our rate per ton would be doubled, as the amount of interest by way of rental would be fixed. I have, &c, W. H. Haegebaves, Chairman. P.S. —In the event of a strike, the payment of interest for " way-leave " to cease.—W. H. H. The Commissioners, New Zealand Eailways, Wellington.

■ ■ • No. 94. The Eailway Commissioners to the Chaieman, Westport-Cardiff Coal Company. SlE,— Wellington, 25th July, 1894. With reference to your letter of the 24th instant, in regard to the rates for haulage of your Company's coal over the Mokihinui Company's line, I have the honour, by direction of the Eailway Commissioners, to inform you that they have given careful consideration to the proposals as detailed in your letter above referred to, and regret that they do not see their way to entertain them. I have, &c, B. G. Pilchee, The Chairman, Westport-Cardiff Coal Company (Limited), Secretary. Wellington.

No. 95. The Chairman, Westport-Cardiff Coal Company, to the Eailway Commissioners. Westport-Cardiff Coal Company (Limited), Gentlemen,— Wellington, 27th July, 1894. I am in receipt of your letter of the 25th instant, and note that you do not see your way to entertain the proposals made to you in my letter of the 24th instant. I shall probably leave Wellington to-morrow, as I am hopeless of arriving at any arrangement with you which will enable my Company to compete favourably with other coal-owners in the face of the excessive rates you seek to impose upon our coal for "way-leave" and haulage. I therefore propose to leave matters until you have arrived at a better appreciation of what I conceive to be due to us, or the Government or the House can deal with the question on a fair and just principle. In the meantime* no traffic, I regret to say, can be initiated by us over either the Mokihinui Company's or the Government lines until we are placed under a fair and reasonable tariff. I have, &c, W. H. Habgeeaves, The Commissioners, New Zealand Eailways, Wellington. Chairman.

No. 96. The TJndeb-Seceetaey for Public Wobks to the Seceetaey, Westport-Cardiff Coal Company, Sie,— 6th August, 1894. In reply to your letter of 3rd ultimo, covering an appeal to His Excellency the Governor against"the amount of the rates proposed to be charged by the New Zealand Eailway Commissioners for the haulage of your Company's coal over a portion of the Mokihinui Coal Company's railway, I am directed by the Minister for Public Works to state that the matter has been very carefully considered in all its bearings, but the Government is advised that the Governor has no power now to fix such rates, as the effect of recent legislation has been to vest such power absolutely in the Eailway Commissioners. I have also to add that the Government has no power at present to purchase the Mokihinui Coal Company's railway. I have, &c, H. J. H. Blow The Secretary, Westport-Cardiff Coal Company Under-Secretary for Public Works. (Limited), Christohurch. Approximate Cost of Paper.—Preparation, not given ; printing (1,400 copies), £58 3s.

Authority : Samuei* Costall, Government Printer, Wellington.—lB94,

Price Is. 9d.]