TIMBER ROYALTIES

Dominion, Volume 16, Issue 134, 22 February 1923, Page 8

TIMBER ROYALTIES

DEPUTATION TO PRIME MINISTER / COMMISSION OF INQUIRY TO BE SET UP The Prime Minister promptly acceded to a request for a commission of inquiry made yesterday by a deputation of county councils on the subject of timber royalties.

County councils of the North and South Island were represented by a deputation that waited .yesterday on tho Prime Minister, the Minister of

Minos, and Minister of Lands, concerning timber royalties. The Commissioner of Forests also attended. Tho deputation comprised the »>!■

lowing:—Messrs. H. E. Holland, M.P. (Buller). R- P. Hudson, M.P. (Motueka), T. W. Rhodes, M.P. (Thames), Colonel Allan Bell, M.P. (Bay of Islands), Mr. F. Langstone, M.P. (Waimarino), Messrs. W- J. Jeffries, D. J. Evans, Hon. J. Grimmond, M.L.C., and W. Duff (Westland County Council), Messrs. Higgins and Ryall (Grey County Council), Hon. W. H. Mclntyre and Patterson (Buller County Council), Messrs- Auld and McVicar (Inangahua County Council), Stanton (Rotorua and Taumarunui County Council), T. W. Rhodes and McElroy (Coromandel, Ohinemuri, and Thames County Councils), Crocker, Bevan, and Caines (Kaitieke County Council), McArthur (Waimarii#), R. P. Hudson (Collingwood, Takaka, and Murchison County Councils). Mr.' J. O’Brien, M.P. (Westland), who introduced 'the deputation, said that the question of timber royalties was o’le that affected most of the local bodies throughout New Zealand, more particularly on the West Coast of the South Island. Tho deputation would ask that the 50 per cent, royalties bo still paid to the county councils that had timber areas in their districts, but that a commission be set up, under section 40 of the Finance Act, 1921, to determine particulars (a) as to past royalties, and the claim that the local bodies have not received the amount legally and equitably due : and (b) as to the future revenue lost by reason of the Forests Act, and the provision to be made to replace same ; also that a Forest Advisory Board, under sections 14 to 17 of the Forests Act-, 1921, be also set up, and that local bodies have representation on the boardMr. Holland said that throo counties were embraced by his electorate. He urged the granting to the county councils the royalties which was their duj; also that a commission be set up to go into the matter of the local bodies’ claims.

Mr. Langstone and Mr. Hudson supported the proposal. Mr. W- J. Jeffries, chairman of the Westland County Council, said that local bodies had an inherent right to the revenue derived from the product within their boundaries, and the whole of 'the local bodies should bo on the deputation, as they had come to a unanimous decision on the request to tho Government. As far as Westland was concerned, there was no Main Trunk railway on the West Coast, and, in the timber areas, it was the invariable rule, that, where there was timber traffic, tho stability of bridges had to be increased, and the roads made so that they could’ convey the traffic. The reports of the Forestry Department indicated that Westland was the main storehouse of the Dominion’s timber supply for the future. In ordinary circumstances, the district would* derive a very largo income from royalties for the future. Under the forestry policy, that revenue would be lost to them. The county councils should not be penalised for the benefit of the Forestry Department. Replying to a deputation in 1913, the Prime Minister (Mr. Massey) said he had no intention to take away tho royalties from the local bodies; this declaration had been received at tho time with general satisfaction. Tho Primo Minister: A Cabinet committee was set up, to deal with the question since then. Mr. Jeffries: Yes; in 1919, Sir Francis Bell, as Minister in charge of the Forestry Department, stated to a deputation at Hokitika that, in bls opinion, tho finances of the local bodies affected by loss of revenue from royalties should be adjusted. Mr. Stanton said that the question raised was that 50 per cent, royalties on all future Crown timber lands was a fair proportion of the revenue duo to loc.il bodies for the sale of Crown timber. The local bodies were entitled to 50 per .cent., whether tho timber was sold for a lump sum or taken off the sawMr. Rhodes said that local bodies had their roads and bridges damaged by haulage in timber areas; this damage was made good by tbo royalties paid. Prime Minister's Reply. . Tho Prime Minister, in reply, said that the request for a commission was reasonable, and he would agree to it being set up. The suggestion of tho chairman of the Hokitika County Council that tho commission should consist of someone that would take full evidence on the subject was a good one, but he was afraid that- a Supreme Court Judge would not be available. He would not say exactly at the present moment what form the commission would take, but it would have very wide powers in the matter of collecting evidence. He could not promise, however, that an advisory board would bo set up. “I think you may go home satisfied,” continued Mr. _ Massey, “that things will bo better in this respect—— that you will get your commission, and it will be sot up ns soon as can be arranged. You will have an opportunity to give evidence. There will be representatives of tho Crown and the Government, giving evidence as well. I believe some adjustment is necessary, and I only hope that, in the readjustment, the finances of the country itself will not suffer. I cannot tell you that you are going to get any definite sum.”