THE MIDLAND RAILWAY.

Evening Star, Issue 7360, 4 November 1887, Page 4

THE MIDLAND RAILWAY.

The answer of. the Government to the proposals of the Midland Railway Company is very exact and business-like. All the weak points have been carefully eliminated, and only so much coneededas is in accord with the spirit of the original agreement. The important clause is, of course, that relating to the granting of further lauds to tho Company if the area set apart does not realise the sum of £1,250,000. In regard to this stipulation the Government propose to add another, including the sum total the amount which the Company shall have received by the sale of timber, and a proviso is added to this clause that " the Company "shall not be entitled to any such addi- " tional land outsido the authorised area. This amounts in effect to giving the Company the right of selection over all the country marked on the map originally, and of which the southern boundary is theßaikaia River, and it is to be presumed that such was always the intention of the late Government ; otherwise why has such reservation been made? The present Government are, therefore, merely adhering in this matter to the original contract. Nevertheless, it is a deplorable thing that after limitin» the selection of land to an area of fifteen mfles on either side of this railway, there should be even the semblance of a necessity to expand the area to nearly 100 miles. As a safeguard against a possible sacrifice of the land the minimum price has to be fixed by the Surveyor-General. The whole business only goes to show how rash and unconsidered the whole affair is, and painfully reminds one that for this wretched railway the country was delivered over to a SioriT-VoGEL Ministry for three weary years. . Ou many points the Government absolutely decline to accede to the request of the Company. The capital is stated at £500,000, divided into 50,000 shares of £lO each. The actual fact is that shares to the value of £253,000 only have been issued, and all have been taken up. The Company are evidently driving a hard bargain with the Colony, but the Government are not disposed to yield to the terms sought to be imposed ; and it is to be hoped that they will be supported in resisting the extravagant demands that have been made. Again, the Company propose to insert a condition thattheGovernment—termed " The Queen," in the formal language of the contract—should work the railway, paying to the Company 50 per cent, of the gross mileage traffic receipts. This is struck out, and instead it is proposed to work the line upon terms as favorable to the Company as shall then be given on behalf of the Queen, to any other company, authority, or person owning railways in New Zealand. Then the Company want to cast the entire cost pf the survey on the Colony, and strike ant the original condition that one-half should be paid by the Company. This the Government decline to agree to, and insist on retaining the condition as first agreed upon. There are a number of similar attempts to gain some and in other instances to gain very serious advantages over the Colony, but the Ministry of to-day, whilst conceding everything that, even in an exaggerated spirit of fairness, can be permissible, have wisely and properly drawn the pen through all the encroachments asked by the Company. One remarkable effort to take the business out of the hands of the New Zealand Government is tha insertion of a clause referring to any dispute between the Government and the Company to the "Kigh Court of Judicature in England," which is rightfully objected to. Then the Company demand that if anything contained in the contract shall require the assent of the New Zealand Parliament, "the Qot.es " shall use her best endeavors to procure such assent before the end of the year 1890. This is also struck out. The matter is placed by the Government on a plain and intelligible footing, and there should not be much difficulty in accepting the proposals of Ministers; but whether these will suit the views of the Opposition, and satisfy the craving of ■"United Canterbury" and the Midland Railway Company, is quite another question. But Ministers have gone quite as far as they ought to go and may go with safety, and perhaps a little further than is desirable. At most it is a compromise, and one that the Company should be contented with.