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F.—6a

AUSTRALIA-SUEZ SERVICES.

No. 86. The Secretary, Postmaster-General's Department, Melbourne, to the Acting-Secretary, General Post Office, Wellington. Commonwealth of Australia, Sir, — Postmaster-General's Department, Melbourne, 6th April, 1906. Adverting to the letter dated the 13th May, 1905 [No. 1, F.-Ba, 1905], addressed by the Postmaster-General of New Zealand to the Postmaster-General of the Commonwealth, relative to the charges made by this Department for conveyance of New Zealand mails to Europe, &c, by Peninsular and Oriental and Orient steamers, also the payment made by the Commonwealth for conveyance of mails by the San Francisco service, I have the honour, by direction, to inform you that payment by your Department may be made to this office at Postal Union rates for mail-matter (other than parcels) at the rate of 2d. per pound for parcels conveyed by Orient vessels under the contract between the Orient Company and the Commonwealth, which commenced on the 4th April, 1905. The matter of payment as from the Ist February, 1905, for conveyance of mails by P. and 0. vessels is, however, one for settlement between your Department and the London postal authorities. 2. With regard to the demand of the Oceanic Steamship Company for the payment of 12s. per pound of letters and post-cards, Is. per pound of packets, and 6d. per pound of newspapers, conveyed by that company's vessels from Australia to San Francisco, &c, I am to state that this claim cannot be entertained; but the question of making payments at rates in excess of regulation poundage rates is now the subject of correspondence between the Oceanic Steamship Company and this office. 3. I am to add that, in view of the large subsidies paid by Australia towards the maintenance of mail-services to Vancouver and via Suez, it is not considered desirable for the Commonwealth to increase its present heavy outlay in this respect by granting a fixed annual subsidy towards the maintenance of the San Francisco service. I have, &c, Robt. T. Scott, Secretary. The Acting-Secretary, General Post Office, Wellington.

No. 87. The Acting-Secretary, General Post Office, Wellington, to the Secretary, Postmaster-General's Department, Melbourne. Sir,— General Post Office, Wellington, 18th April, 1906. I have the honour to acknowledge the receipt of your letter of the 6th instant, on the subjects of payment for conveyance of New Zealand mails to Europe, &c, by P. and O. and Orient steamers; the payment to the contractors for the San Francisco mail-service, and the proposal for a fixed annual subsidy from the Commonwealth towards the maintenance of the San Francisco service. I note that the question of payment as from the Ist February, 1905, for conveyance of mails by P. and 0. steamers is one for settlement with the London Post Office. That office is accordingly been written to on the subject. I have, &c, Thomas Rose, Acting-Secretary. The Secretary, Postmaster-General's Department, Melbourne.

No. 88. The Hon. the Acting Postmaster-General, Wellington, to the Secretary, General Post Office, London. Sm,_ General Post Office, Wellington, 20th April, 1906. In connection with the sea transit of New Zealand mail-matter by the vessels of the P. and 0. Company from Australia to Europe, I have the honour to inform you that I am advised by the Commonwealth Post Office that the matter of payment for the service as from the Ist February, 1905, is one for settlement between your office and this Department. I presume, therefore, that this Department should credit your office in the quarterly postage accounts at the proportionate Postal Union rates applicable to conveyance from New Zealand. I have, <fee, Thomas Rose, The Secretary, General Post Office, London. For the Postmaster-General.

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