THE PREMIERS' CONFERENCE

Star (Christchurch), Issue 8942, 30 May 1907, Page 2

THE PREMIERS' CONFERENCE

STATE AND FEDERAL FINANCE. United Press Association — By Electric TeiegTap-h — Copyright. (Received May 30, 9.-10 a.m.) BRISBANE, May 30. At the Premiers' Conference, there was a long discussion on the " Braddon blot." The Premier of Tasmania introduced a motion to make a fixed return per head to the States. JTasmaaia, he said, was suffering severely under the Federal financial scheme. The other States voted against the motion. Sir John Forrest, in a speech, made it quite clear that the Government would not, under any circumstances, accept the resolutions of the Melbourne Premiers' Conference, but a motion was moved that they should be confirmed. An amendment was moved on the first clause referring to the " Braddon blot," so as to leave the way open for a compromise in view of Sir John Forrest's determined stand. Mr Carruthers was quite willing to accept Sir John Forrest's proposals if provision were made to afford Tasmania and Western Australia exceptional treatment. It was a serious thing to ask the Commonwealth to commit itself irrevocably to a scheme of finance. If they could get the Commonwealth to take over the Stat© debts and pay the interest instead of adhering to the Braddon clause, that course would lead to the solvency of the States. Sir John Forrest desired to see the "Braddon blot" expire in 1910, and tho substitution of the return of a fixed amount based on the average of tho past five years. Strong opposition is manifested by the large States, as New South Wales, for instance, will logo 21 per cent by the proposal. Eventually the conference agreed to an average being taken over nine yearn instead of five. This was done by way of compromise.