FEDERAL FINANCES.

Dominion, Volume 2, Issue 455, 13 March 1909, Page 5

FEDERAL FINANCES.

PREMIERS AGREE O*N A SCHEME. |UI TKI.EUItAI'iI—I'ItESS ASSOCIATION — roi'TKIOIIT.) Hobart, March 12. The Premiers' Conference is debating the financial relations of tho Commonwealth and States. The main point of discussion is the question of the determination either of a fixed amount or a set proportion of the Customs and excise revenue which should be returned to tho States, in lieu of tho present three-fourths wider the Braddon clause. Mr. Kidston, Premier of Queensland, mado a proposal that the amount .to be returned to the States be fixed on a per capita basis. Tasmania and South Australia' favour this, but New South. "Wales and Victoria are emphatically opposed to the proposal, while Western Australia is inclined to support the largo States. Tho conference seems to be as far off as ever from arriving at a decision. (Rec. March 13, 1 a.m.) "■■" ••■.•■'T^ , ' v 12. The.|Priiiiiier3,'())'avQ,,cf)nip, toriiiu.iflgreement on tho question of the financial relations of 'the Commonwealth and the States, and bavo drawn up a resolution which, it is believed, will provo acceptable to the Commonwealth. The details have not been*divulged., ACADEMIC CONFERENCES. Writing under date March 6, our Sydney correspondent remarks:—Every year, when the Premiers of the Australian States solemnly meet in conference, as they are doing just now at Hobart, one speculates with reason whether these gatherings are to remain purely academic, or whether they can ever have any practical value in real matter-of-fact legislation. The Constitution does not give any standing to such a conference; it has no legislative faculties, and tho most it can do is to consider grievances, and suggest remedies which the Federal authorities may accept if they wish, or, on the other hand, treat as so much waste paper. Up to the present, tho wastepaper basket has been the ultimate destination of a good deal of the business of these yearly gatherings. Ministers of previous. Federal Governments have regarded the Premiers' conferences with calm indifference, courteously giving them information when they desired it, but declining absolutely to be bound by any of tho resolutions they have passed, and most probably this will bo tho Attitude of the present Government also. Mr. Fisher, the Prime Minister, may give his views on the financial relations between the Commonwealth and tho States, but it is doubtful whether ho will do any more—and this is all that previous Prime Ministers have done. When Afr. Reid was in office lie established the practice of making, tho States partners in a conference at which tho Prime Minister was the president, but sinco then.tho head of fhe Federal Government has usually attended the conference by invitation only, and delivered an address. It appears pfobable that'if Mr. Fisher does not propose any scheme for the readjustment of the finant cial relations of the Commonwealth and the States, the Premiers will themselves formulate one, especially in view of the strong feeling which Queensland, for instance, expresses on this important subject. But to secure for any such scheme tho force of law, if the Federal Government is hostile to it, is another matter. The , way out for the Premiers appears to be contained in a suggestion made this week that they should take an active part in the next Federal elections, with the view of "securing the return of men favourable to a just estimate of tho financial requirements of the . States." This will introduce a new clement into Federal contests,-which may or may not prove unwelcome. On the ofher hand, no such lnfer- , vention on the part of the Premiers may be ' necessary. A muoh less aggressive solution of • the difficulty may be found by a quiet talk - across tho table with Mr. Fisher, who is not ■ unamenable to reason.