1.—12.

256

0. H. EBWARKS.

C. H. Edwards, representing Napier Gas Company, examined. 1 desire to speak to the Committee on the coal question. I dare say you have had this question brought before you at some of the other centres you have visited. It is a very serious question at the present time not only for the manufacturer, but also for other users of coal. We have been practically living from hand to mouth in respect to coal. 'Last week 1 had to go to Wellington to buy some coal out of vessels there, and 1 had to rail it all the way through to Napier. 1 had to do that in order to carry us through the Easter holidays. We have by the courtesy of the Coal Committee been able to get a vessel diverted to Napier, and next week I suppose we will get a sufficient supply to last for two or three weeks. I brought this matter up some time ago before a conference of Chambers of Commerce. The position is this : that practically there has been a shortage of coal in New Zealand during the last three years, and that has been largely due to the fact that the State has not done what an ordinary business firm would have done. The State is the largest user of Australian coal—that is, for their railways — and they also have the coal-mines at Greymouth. According to the Year-book they produced 250,000 tons of coal last year, yet the State has not got a single vessel to carry that coal. The position, therefore, has been that we have been entirely in the hands of the Union Company, which company, although they have been doing their best to scratch along for us, has yet been unable to bring that cargo along; but for themselves they have done the very best thing—they have increased the freight, Twelve years ago we were landing coal into trucks at our Breakwater and inside the port—that is, New Zealand gas coal—slack—we were landing that class of coal, including freight and wharfage, at 16s. a ton; and we were getting at that time Australian coal at, 17s. or 18s. a ton delivered into trucks at the Breakwater. To-day the same coal is costing us 335. 3d. a ton delivered into trucks either at the Breakwater or inside the port—that is, New Zealand coal—and 375. 3d. for unscreened coal. We have to take that class : we cannot get the slack. I am getting a cargo of Newcastle coal, and I understand the price will be about 435. a ton —that is screened coal. The reason I have come before you is really to ask you to urge upon the House of Representatives the advisability of having State vessels. We do not want you to go in opposition to the Union Company, but we consider that the State ought to own vessels to carry their own coal at least, and that would set the Union Company free to do other business, and then we probably would be able to get coal, and we might get it at cheaper freights. I may state that I know the freight the Union Company was receiving from Newcastle twelve years ago. They were bringing Newcastle coal at Bs. freight to the Breakwater and 9s. 6d. to the Inner Harbour. To-day their freights are 225. 6d. a ton at the Breakwater. The New Zealand freights I do not know. To the. Chairman: The ships are unable to bring the New Zealand coal. It was stated in the newspapers that on one occasion at least last year the coal-miners were unable to work more than so-many days a week because there was no shipping to take the coal away. That in itself is sufficient to show that had the State its own vessels to carry the coal the miners would have been able to work six days a week instead of four days. We know also that there was sufficient coal available at Newcastle to supply all the requirements of New Zealand if there had been vessels to take it away. We have a trawling fleet here, and we. supply them with coal; but we have been unable to supply the vessels with coal. S. Harris, Hat and Cap Manufacturer, examined. I am a hat and cap manufacturer, Napier; and we supply from here all the warehouses in New Zealand, and also the majority of retailers from Auckland to the Bluff. My complaint is in connection with railway freights. I think the manufacturers should be given a chance to pay the lowest rate instead of the highest. The rates we pay now are the highest class—"A," by weight. I cannot say anything about the shipping, because we have no choice —we have to pay whatever they ask. Also, we are greatly in trouble because we cannot send any stuff south; we have stuff that has been lying in store sometimes four and five weeks. To the Chairman: I think the manufacturer should be given the chance of paying the lowest freight, because he employs hands and he expends a great deal of money, and that money is expended locally. What we ask for is a fair or moderate freight. We also ask that we should be able to issue bills of lading from here through to all parts of New Zealand. To Mr. Forbes: I certainly think the railways ought to be made to pay interest on capital. I think we should get a reduction in freight in order to encourage local manufactures. To Mr. Sidey: There are two similar firms in Dunedin that make caps; but the warehouses buy their own materials and make them up. The Kaiapoi Company is the only manufacturer besides ourselves. To Mr. Craigie: We employ twenty-eight hands, mostly girls. I started business twentyfive years ago, but in Napier about thirteen years ago. D. Whyte examined. I wish to put before the Committee some points that have come before my notice in connection with my work as a company-promoter. I have been engaged a great deal in the promotion of companies connected with gold-mining in New Zealand, and in my judgment the mining question wants to be gone into very closely by the Government, because it is one of our best industries. It is one of our best national resources, and is capable of bringing in an enormous sum of money for the benefit of the country. I suggest that the following amendments be made in the Mining Act:—Terms of mining leases: (1.) That work be divided into two sections —first, development stage; second, mining stage. (2.) That, the mining stage be autho-