WATER POWER FOR MINING.

Dominion, Volume 2, Issue 497, 3 May 1909, Page 10

WATER POWER FOR MINING.

"- ::: '"'"PJIOHrBn'iYB: SCHEME OF a v :..;-;. ■ .■■■■ ~ , :;\ ■ . '' ' a : ,..' OnTthe .WesC Cjast,; of ,the present time, p things"are" not" too good, was the impression i received by a representative of tho Christ- n : church ."Press" during.the course of an in- a ■ torriew Vitn-'Mr; C. J. Pai-ham,' consulting c ■engineer to. several hydraulic ■ propositions in t ,SV«Btl»ndr-v... ■:!•;■■: ;- ~.:,-..;.;..,- c ; Heferriug to the mining industry, Mr. t Parham spoke with considerable feeling on c what ho'described as "the .unaccountable i V hostilityXqf the- Alines [Department to the "• , utilisation of.water-power to generate elect '• .tric,ity , ."to,' purhp ! water, for hydraulic mining C purposes.":'' '■ '■'/ .'. : : ' ■ t "The Hon;'R.-M'Kenzio recently informed c me,": said' Mr.' PaTham,"that he was not i sure that the Government would be wise ' in leaving the water power at present run- i ■ ning.to waste in Westland to. mining com- t panics.- He admitted that the State-could, not, develop the water power, and it-appar-ently follows that, in tho,Minister's-opinion, the-next, best thing.is to'make-it impossible for. capitalists'.to, do, so. , Although our un-■dertakmg'-inyplves,, heavy expenditure in ' 'equipment' and a'working capital of at least £100,OOOV;the'Mine's'Department: . >': vised- a s'cheme'.of. taxation, not, ■ i however, " on'; the 'gold won,': nor on : ' the' : 'profits eamed,'. but on the waste i water; /.--powers of Westland, -water ■! powers which have no.: present ] value, and never will have (any more than they had in the. past) unless for mining purposes. The Minister proposes,a tax of ss. per house-power per annum, which, of , course, looks ibbth liberal and plausible, but when appliodtb'hydrarilio mining by'pumpcd i water it figures out "just tho reverse. Now taking the very outside average Bluicing value of '4. grains per cubic yard, J one l horsepower would only. recover^four, ounces of : gold 'out of 496 loa'ijs'bf gravel 'in a year of \ ,7200 ; hoursJ.of constant work. '■ Needless to ■ say,' such continuity.!.of work is''! simply impossible in : hydraulic'mining. .-Applications !.:■ for-water.power can only, be .made tiy regis- .,'' tered:companies with"-capital subscribed,' 'and ' '.each''.'?application .must be accompanied- 'by '. '.detailed'' surveys,' plans, and specifications,i which,', in the.case ,'6f ; the Tdarona schemes,' j>- would -involve a "cost 'of at. least £2000. A 0 guarantee of good faith is also required in 0 tho'shape of a deposit, without interest, of ten por :cent.'of- : the-total cost of. equipment, say. on £100,000, so that before these applications for 300 heads 'of .water; at Toaroha can be formally made a cash out-, ';■ lay "of about £12,000 is required as matters ' stand at present. Then the annual ' ta,x for 300 heads of water under a fall of 760 feet, which will oost the: oompaines at f., least £15,000. to fully develop' before. that •: iw'ater'power will-even exist.: Add to the :-. above tho special claim tax of ~7s. 6d. per -. aore,' say on a thousand jacres. plus. local , rate, and on top of all this 'there is the i anomalous duty of 10 to 15 per cent, ad ir valorem on electrical.mining machinery, '* though mining, machinery is alleged to'be £ on: the free Ust. ; "ln: short, I begin ito, think-, ir that this Government want the lot. The a net'result is that the hydraulic miner is to *. be taxed, bat.of existence if he'attempts to ir - use water which cost? tho Government no>r thing,: although.,there is absolutely nothing jj' in the Mining Act"tq' justify su'oh an impojr sition." : ,-'..'