THE PUBLIC WORKS STATEMENT.

Evening Star, Issue 9832, 22 October 1895, Page 4

THE PUBLIC WORKS STATEMENT.

WELLINGTON, October 22.

In the House last night the Minister of Works (Mr Seddon) delivered the annual Works Statement, of which the following are the material parts of general interest and particularly affecting Otago :

Mr Speaker, be the first Minister of Public Works in this colony who has had the honor of presenting five consecutive Public Works Statements to the House. It is, however, with some misgiving that I now lay before you my fifth Statement, knowing full well that owing to the small amount available for] public works disappointment is sure to be occasioned. Tho exceptional circumstances which have arisen this session will, I hope, be a sufficient extenuation for the presentation of this Statement at so late a perio lof the session. The banking legislation, the consideration of which occupied practically four weeks, delayed the consideration of the Tariff proposals, and these in their turn impeded the passing of the Consolidated Fund Estimates, and it was impossible until our finance was assured to bring down the Public Works! Statement."* The (Colonial Treasurer in the Financial Statement mentioned the amount available for public works, and hon. members are thus aware that a reduction in the expenditure upon public works has become imperative. The moneys under Part 11. are nearly exhausted, and this year we are only able to transfer £150,000 from the Consolidated Fund for general public works purposes. As the ways and means arc thus very little, attractiveness in the Statement is out of the question.

Employers of labor, owing to the low prices of our staple products and other cmses, reduced their expenditure during the winter considerably, thus throwing a very large number of men out of employment. This contingency, although neither unforeseen nor unexpected, placed an extra strain upon the local authorities as well as upon the .Government; for the men and those dependent upon them could not be allowed to starve. In the localities where the unemployed difficulty was most acute the local authorities and the public, I am pleased to say, assisted materially in providing for necessitous cases. But even with tlrs assistance the demands upon the Government were very great, and under the circumstances the expenditure during the past year was not unreasonable, and may, indeed, be said to bo very satisfactory. A RETROSPECT. Members will, I hope, not consider it out of place for mo to refer to tho past. On reference to the Public Works Statement of 1391 it will be found, under the head of "Public Works Funds," that the sum of £718,C96 was then available for public work} purposes, with liabilities against it to the amount of £240,387. Of tliis amount £356,107 belonged to Part 11., which i 3 "earmarked " money, available for the North Island Main Trunk Railway only. Tho amount available for general public works purposes, therefore, was only £361,989, and against even this amount there were liabilities already existing to. the extent of £195,484. Tho expenditure for the year 1891-92 (exclusive of the expenditure under Part II.) was £312,371; for 1892-93, £339,891; for 1893-94, £333,051; and for 1894-95, £300,817. The average for the four years has been £319,282. It is, therefore, satisfactory to find that we have been able to carry on our general public works for a period of nearly five years without having recourse to the London market for a loan for public works purposes. Thi i is a very creditable achievement, and fully in keeping with tho policy enunciated when the Government took office.

During the four years referred to we have opened 152 miles of railway and have spent in railway construction (again exclusivo of Part II.) £517,004. We have constructed 1,711 miles of roads and completed the purchase df 1,159,681 acre 3of Native lands. Considerable expenditure has also taken place on other services, the following being a summary :

Railways £t!17,00l Roads (except roads on goldfields) ... 2155,842 Public buildings (in addition to £118,573 for school buildings, charged on Consolidated Fund) 104,104 Telegraph exten.sion ... ... ... 92,374 Roads and works on goldfields ... ... 84,454 Lighthouses, harbor works, etc. ... 28,275 Departmental 2b\-172 Purchase of Native lands ... ... 17,841 Miscellaneous ... ... ... ... 10,744 Total £1,277,130 Of this amount £473,90 L was provided from the consolidated revenue. THE PRESENT POSITION. Members wiil observe that the funds available will not at the proposed rate of expenditure carry us far beyond the end of the current year, and we shall have to depend to a large extent on the usual surplus for the moneys necessary to go on with from the 31st of March, 1896, and until Parliament next year has had an opportunity of considering the position. There is a reasonablo possibility that with the simmer and the brightening prospects now looming ahead employment generally will become plentiful. If this very desirable and much-needed state of things conies to pass the number of men employed upon the public works of the colony can be reduced, thus ensuring the moneys in hand being sufficient to cover the expenditure until further provision is made. I do not, however, think it practicable, at any rate for some time to come, taking into consideration the urgent necessity and importance of the great majority of the works in hand, to reduco the expenditure to below £300,000 per annum, When, however, tho railways now in hand are completed paying points, it may be fpossible to bring the expenditure under thai part of the fund down to £250,000 a year. It is essential that the increasing settlement should be supplemented and aided with roads, buildings, railway communication, extra rolling stock, and additions to open lines; and now that our goldfields are attracting attention, and private capital is being invested in.furthering the development of the mining industry, it would be suicidal for the "tate to remain apathetic, and I have no hesitation in saying that we must make provision for roads on goldfields, prospecting, water conservation, the construction of water racer, or contributions towards the same, and for the c instruction of other minor works on goldfields. Under the head of " Lands Improvement," seeing how rapidly settlement i 3 progressing it is imperative that we should have the necessary surveys complete and the roads constructed. In fact one of the greatest drawbacks to settlement arises from the fact that it is almost ruinous t) the poorer classes of Fettlers for them to be in occupation of their holdings for months prior to the construction of roads giving access thereto. In other words the lauds should be roaded first, or wherever practicable tho roading and clearing should proceed simultaneously. Again, in respect to the purchase of Native lands it is necessary if our Nativo laud policy is to lo successful and fair treatment of the Native race ii to obtain due provision should be made for the purchase of the land at a price just to the Natives and profitable to the colony, and for the roading and settlement of the same within a reasonablo period. It is useless to acquire the lands and then allow them to remain in their natural state for years after purchase. Membars will sea as hereinafter set forth that the moneys under the head of "Land Improvement Account" and "Native Lands Purchase Account" will be almost exhausted by the passing of the current year's Estimitcs, and members will do well during tho ensuirg recess to take into their serious consideration how in the future our Crown lands are to be roaded and improved, how Native lanels are to be purchased and settlement proraoteel, and true and substantial progress made. On reference to the Public Works Estimates it will be found that the amount asked to bo appropriated under Part I. is only £425,253, as against £578,530 voted last year, the appropriations asked this year being less by £153,277 than the amount voted last year. The liabilities appear largo as compared with the amount asked for, but a portion of these liabilities arc technical, and there aro others on account of contracts for bridges and large works the time for the completion of which extends well into next year, and the payment for which will not, therefore, under these circumstance?, come to book until after the 31st March next. Numerous instances of liabilities of this class might be quoted, but the following will suffice:—The Makarau contract on the Helensville (northwards) Bailwav was entered into on the 13th March, 1890, and the contract sum (£26,616) wis at once entered as a liability, but the contract is not yet finished, and £6,474 stands as a liability against it still. DEALING WITH UNEXPENDED BALANCES. I pro] os 3 this year to make an alteration in the method of taking the appropriations under Park I. of the Public Works Fund. Hitherto the votes which were nominally given to cover twelve months' expenditure really had to cover fifteen months', as the only funds available for expenditure during the April-June quarter of any year were the unexpended balances of the previous year's votes. After the Ist July the expenditure Is provided for under the Imprest Supply Acts. It is now proposed to amend the law so as to empower tho Colonial Treasurer to make payment! during the April-June quarter at the same rate as provided tor in the appropriations for the preceding year. The Publio Revenues Act already provides for this as rogarels the expenditure or the Consolidated Fund, and there is now no reason why the same rule should not also apply to Part I. of tho Public Works Fund. It is, therefore, proposed to insert in the Public Works Appropriation Bill a clause to the following effect:—"The Colonial

Treasurer may during the throe months ending June 30, 1896, issue and pay raoneya out of the unexpended balances, of votes set forth in the second schedule hereto." Tho new method has been adopted in compiling the Estimates this year, and has facilitated tho work. It will also have the advantago of preventing mil-apprehension arising with those who, under the existing state of things, complained that we do not expend the whole of the amount voted for works before the 31st March in each year.

THE CO-OPERATIVE SYSTEM. It is with pleasure that I have again to state that the construction of public works under the co-operative system continues to prove satisfactory. When the system was first inauguratedit was asserted that use would be made of it for political purposes. - It was also further prophesied that ,the cost of the works would be excessive, and that the amounts received by the workmen would be greater than tho?e paid lor a similar class of work in the district and elsewhere in the colony. These prognostications have been proved to be entirely fallacious, and a complete change of front has taken place. It is now asserted that the amounts paid are too low—that the men have not been able to make the same wags as would have been paid under tho contract system. It may, therefore, be fairly assumed that as between tho two a happy medium has been struck, that the works have b:en constructed at a fair market value, and that the men employed have received a fair wage, though the average may appear less than that which would have been obtained under the contract system ; yet it must be borne in mind that the workmen employed by the contractors would bo all fir»t-class men. Under the co-operative system a large percentage of the men employed have never previously done any navvying work, many of them being skilled workmen. The wage earned has been fully equal to that paid for similar labor by private employers. The class of work done has on the whole been very good, and has been equal, if not superior, to that previously performed under the contract system. During the winter months, cwing to tho dearth of private employment, it was necessary, in order to meet the most necessitous cases, to considerably increase the number of men employed, but as the summer advances and tho demand for labor by privato employers increases, so correspondingly will the number of men employed on Government works be reduced. The extension of the cooperative system to the erection of public buildings has proved satisfactory, and, comparing tho class of work dono with that previously performed under the contract system, it is quite safe now to apply the cooperative system to buili'ings of ail kinds, whether in wood, brick, or stone. This being the ca'-e, it has been decided to re-erect the auxiliary asylum at Auckland in brick under this system," thus avoiding a repetition of what has occurred in respect to a similar class of buildings at Porirua, and which was built under the much-vaunted contract system. The cost of re-erecting the building will be about £12,000. It has further been r.ccidedto adopt the alternative system in connection with our co-operative works with a view of facilitating the means whereby co-operative workmen may become permanent settlers. We have decided wherever land is available for settlement within a reasonable distance from co-operative works, and is taken up by our workmen, that married men are to have four days' co-operative work in each week, the other two days to be spent in improving their holdings ; and that single men a r e to be employed three days on co-operative works and three days on their sections. This will have tho effect for the time being of reducing the expenditure in connection with public works, and at the conclusion of the «ork the men employed will have become permanent settlers, and will be entirely independent of the State. The men employed under the cooperative system during the last twelve months have been as follow : Public Lands Works DepartMonths. Depart- ment. Total, ment. September, 1894 ... 821 1,125 1,046 October, 1894 ... -?Sl 1,181 1,11(12 November, 1594 ... 748 1,178 1,920 December, 1894 ... 866 1,222 2,088 January, 185)3 ... 84S 1,138 1,985 Februarv, 1895 ... 8-.fl 1,384 . 2,247 March, 1595 ... 89:1 1,317 2,210 April, 1895 ... BS3 1,234 2,117 May, 1895 ... 875 1,337 2,212 June, 1895 ... 881 1,559 2,449 July, 1893 ... 800 1,680 2,492 August, 1895 ... 818 1.7153 2,584

Average monthly number . ... S4O 1,344 2,184 The men have been employed on works of varied character. Railway works of all classes have been done uuder this system, and these included earthworks, bridges in stone, wood, and iron, culverts in stone and wood. Platelaying, ballasting, supplying of sleepers, and the erection of s'ation and other buildings and works of other kinds, including repairs to public buildings, have also been carried out under the system. It is very desirable that the co-opera-tive system should be adopted by local authorities, and more especially is this the case where grants in-aid towards the construction of roads and public work* are given by the colony. The adoption of i his system would riuuro a living wage being earned by the men employed, and it would also have the effect of more evenly icgulating the labor market. Thin, when there was a dearth of private employment, the number of men engaged by the Government and the local authorities could bo increased," and when private employment was plentiful correspondingly the number of m<m employed by tho Government and the local authorities could bo decreased, thus equalising the work and ensuring a fair return during the whole of the year. At the present time, during some months of the year, skilled workmen and laborers are fully engaged, whilst again for some months a very large percentage are unemployed. What has been earned duiing the busy season is eaten up during the period of idleness, and thus the men at the end of the year find themselves no better off. The success which has attended the cooperative system in New Zealand has led to its application in the construction of works in the neighboring colonies. REARRANGEMENT OF THE DEPARTMENT. I take this opportunity of intimating that during the recess it is the intention of the Government to take into consideration how, in the interests of a more perfect system of public works administration, the several departments now controlling public workf expenditure can be amalgamated. There is a good deal to bo said in favor of the Railway Department having the constitution of railways placed under its charge, and the engineers and officera of this department arc in every way fitted to perform the duties connected therewith. The Lands Department under the heal of roads aud lands improvement accounts, have practically the control of one-half of the moneys appropriated under the Public Works Estimates. There is also the construction and maintenances of buildings, lighthouses, harbor works, etc. For increased settlement, it is very difficult to see how it u possible for this rate of expenditure to be reduced. These branches, outside working railways and railway construction, are of sufficient importance to be placed under the immediate charge of the Public Works Department, and it would be better, I think, if one department controlled the whole of this expenditure. The Minister of lands at the present time, in addition to the sa'e and disposal of Crown lands, has also the administration of the Land for Settlements Act, the Native Land Purchase Act, and the Agricultural aud Stock Departments. These in themselves are more than sufficient to engage the whole of his time without having to undertake the administration of largo sums which are to be expended upon roads. Then as regards the Surveyor-General, seeing he has also to act on the Board under the Land for Settlements Act, together with the numerous other duties he has to perform, it is impossible for him as head of the Lands Department to exercise that supervision necessarily entailed in the expenditure of such a large sum of money on the construction of roads. This in like manner applies to the Under-Secretary for Lands, who has the direct supervision in respect to lands purchase under tho Land for Settlements Act and the Native Land Purchase Department. In fact, the work in the Lands Department has assumed enorraou3 proportions, and it is considered it would be an advantage if this department was relieved of the construction, supervision, and maintenance of roads. There is also a large expenditure upon tho construction and maintenance of roads on goldfields which should likewise be placed under the supervision of the Public Works Department. Summarised, if the proposed amalgamation be given effect to the Railway Department would control the expenditure on working railways and railway construction; the Lands Department would control the administration of the ordinary Grown lands, together with the purchase, surveying, laying off, and supervision of land for settlements; whilst the Public Works Department would have charge of the construction and maintenance of publio buildinps, lighthouses, harbor works, and defence works. NATIVE LANDS PURCHASE AND LAND IMPROVEMENT. The expenditure on the lands improvement account during the year amounted to £89,207, leaving a balance of £160,793 to the credit of t' a 1; account at the close of the year. On tho Native lands purchase acoount the expenditure was £101,009, leaving a balance at the end of the year of £1,988,991, inolusive of tho £50,000 worth of debentures issued under tho Native Land Purchases Act, 1892. The total expenditure on public works and purchase of Nativo lands during the year, exclusive of the £48,000 entered against tho Kaihu Valley Railway, but in respect to which thwe

was no disbursement of cash, amounted to £550,003, namely:Public Works Fund-Part I. £307,182 Public Works Fund-Part II 52,605 Lands improvement ace Hint ... - ... 109,207 Native lands purchase account ... ... 101,009 Total £550,003 In addition to the balances already mentioned, we shall have the £150,000 proposed to be transferred from the Consolidated Fund, £50,000 under tho Native Land Purchases Act, 1892, and about £32,000 from .miscellaneous credits. The total ways and means available for public works purposes and Native land purchase this year will therefore be as followa : Public Works Fund—Part I.: Balance remaining on 31st March, 1895 £268,005 Transferred from Consolidated Fund 150,000 Miscellaneous credits ... ... 10,000 Public Works Fund-Part II.: Balanceremainingou 31st March, ■ 1895 _ £26,604 Credits under section 4 of the Noith Island Main Trunk Railway Loan Appropriation Act, 1889 12,000 Total Public Works Fund £467,209 Lands improvement account ... ... 160,793 Native lands purchase account ... 198,991 Under the Native Land Purchases Act, 1892 50.000 Gross total Ways and Means ... £876,993 The appropriations proposed under these several heads are as fol'ow : Public Works Fund, Part I £425,253 Public Works Fund, Part II 36,800 Total Public Works Fund £462,053 Under the lands improvement account... 160,581 Under the Native lands purchase account 143,791 Gross total appropriations proposed ...£766,425 This will leave an unappropriated balance of £5,156 under the Public Works Fund to be carried forward to next year, besides £212 on the lands improvement account, and £105,200 on the Native lands purchase account, or a total unappropriated balance of £110,568. To the end of 1894-95 the expenditure on all works and services throughout the colony out of the Public Works Fund up to the 31st March list, including the value of the provincial and the purchase price of the district railways, was as follows: . , j Railways £16,006,853 Roads ... '. 3,916,526 Immigration... ... ... ... 2,146,654 Public building 1,944,900 Purchase of Native lands ... ...-1,297,854 Lighthouses, harbor works, and harbor defences 910,103 Telegraph extension 699,022 Development of gold fields 578,306 Defence works (general) 429,719 Departmental ... _ 384,842 Cost and discount raising loans and o'her charges ... ... ... 1,332,396 Total £29,617,175 PUBLIC WORKS FUND. The following table shows the state of the Public Works Fund on 31st March last, inclusive of a small as et of £BO due to Part I. under the Government Loans to Local Bodies Act, 1886 :- Part I. Part 11. Totals. Unexpended balance, 31st March, 1894 ... £263,7:18 £79,197 £342,935 Receipts during 189495 ... 360,049 12 360,061 Totals £623,787 £79,209 £702,996 Expenditure, year ended 31st March, 1895 355.152 52,605 407,787 Balance remaining 31st March, 1895 ...£268,605 £26,604 £295,209 Liabilities existing, 31st March, 1895 ... 229,076 14,097 243,173 Net balance available 3lst March, 1895 ... £39,529 £12,507 £53,036 It will be observed that the receipts during the year on Part I. more than met the expenditure, so that this part of the fund was actually in a better position to the extent of £4,867 at the close of the year than it was at the beginning, and the Public Works Fund as a

whole was only £47,726 less at the end of the year than it was at the commencement, and tbiß notwithstanding an expenditure during the year of £407,787. The receipts under Tart I. consisted of £250,000 transferred from the Consolidated Fund, £44,681 of re'eased linking funds, £3.368 . miscellaneous receipts, and £47,000 of Kaihu Valley Railway debentures entered on both sides of the account, as explained in the Financial Statement. RAILWAYS UNDER CONSTRUCTION. The works in Otago were thus referred to: Otago Central.—The section of this railway between Middleinarch and Hyde was completed and opened for traffic during last financial year, but not sufficiently early in the year to be recorded in my last year's Statement. Work has been energetically proceeded with on the Kyebum and Kyeburn-Ewcburn sections. The whole of the- former section is now under formation, and also a mile or two of the latter and the excavation of the Hyde tunnel is completed, and the lining built for (I! chains. The Capburn Bridge is well in hand, and the plans of the Taieri Bridge have been completed ready for lithographing. The expenditure on this line last year amounted to .£28,131, which was again the largest expenditure on any railway works in the colony with the siuglo exception of the North Island Main Trunk Railway. We ask for a vote this year of £25,000, which will enable the construction of this important work to go on with a reasonablo diligence. Heriot-Roxburgh.—-A detailed survey has been made of the first section of this railway, 6 miles 25 chains in length, and careful trial surveys for a further length of 9 miles 50 chains, which brings the lino to the banks of the Clutha River. It is proposed thi3 year to onmplote the survey, and a vote to defray the cost of the work lias been included in the Estimates under the head of "Surveys." Fernhill Branch.—This line was constructed by the Government several years ago at the expense of the Fernhill Railway and Coal Company, its length being 1 mile 70 chains. It was held that in law the line vested in the Railway Commissioners, and the Commissioners expended a considerable sum inputting it into an efficients ate of repair. Subsequently it was vested in the equitable owners under the Colliery Railways Vesting Act, 1893. The traffic on the line is derived principally from the Fernhill colliery and from some sandpits in the same locality, and the maihtenance and working of the railway is essential to the preservation of the industry. This fact and the desirableness of conserving tire traflic ha- induced the Government to propose to purchase the railway, and a Bill to provide for this is now before Parliament. The price to be paid for the line is not to exceed £1,150, and provision for this has b en made on the Estimates. Catlin River.—Practically the whole of the earthwork on this railway is finished, and the platclaying is well in hand. The timber for the Owaka Bridge is already on the ground, and the work of erection will be commenced in a few days. The work will probably be sufficiently advanced to admit of the railway being opened for traffic to Owaka by July next. The expenditure on this line last year amounted to £fi,*63, and we propose a vote of £7,000 for the current year. Seaward Bush.—The section of this railway between Mokotua and the Gorge road, six miles sixty-two chains in length, was opened for traffic on March (> last. The Titiroa section, extending from the Gorge road to Waimahaka, a distance of rive miles twenty-six chains, is under construction up to the twenty-second mile peg. or within a little more than a mile and a-quarter of its termination. The principal work on this section is the bridge over the Mataura River, a contract for the erection of which was let in March last. A portion of the cylinders for this bridge have already been cast in the colony, and the remainder are now in hand, while the iron for the superstructure is under order in England. The expenditure on this line last year amounted to £8,476. 1 he vote proposed for the current year is £B,OOO, which will almost enable last year's rate of progress with the work to be maintained. MIDLAND RAILWAY. The rejection by Par.iament of the Bill embodying the recommendations of the Select Committee appointed during last session to inquire into matters affecting this railway has prevented the proposed new contract with the company being entered into. In consequence of this the company gave notice in January last of its intention to appeal to arbitration, and appointed Sir B. L. Burnside as their arbitrator. The Government object to the arbitration on the ground that the company have broken their contract, and have consequently disentitled themselves to this remedy, but have, under protest, appointed the Hon. Sir Charles I illey, late Chief Justice of Queensland, as arbitrator on behalf of the Crown, without prejudice to the position taken up in the matter. As the proceedings are now sub judice it would not bo proper for me to say anything further in reference to the particular matter. As, however, the Government were advised that the company had committed a wilful breaoh of their contract and had also shown unreasonable and inexcusable delay in the prosecution of the works conneoted with the railway, it was deoided to take possession of the line under the Railways Construction and Land Act, 1881, with the view of carrying oh the works on behalf and at the expense of the company under the powers contained in that Act. Formal possession was accordingly taken on the 25th of May last. Since possession was taken construction works have been returned on the section between Jaokson's and the Otira, and sixty workmen are now employed thereon. Preparations are also aotively in progress for resuming work on the Belgrove section, and I hope to have a number of men at work in the course of three or four weeks. The appropriation proposed for this railway for the current year is £IO,OOO, which amount will be expended on the Belgrovo and Otira seotions. No appropriation is proposed for the Springfield Bection this year, as no work can be done at tha" end of the line until full plans are in the possession of the Government. The company have so far declined to hand over their plans, and if they persist in that attitude'

it will be necessary to make a fresh survey and complete new plans, WORKING RAILWAYS. My colleague, the Minister of Railways, having dealt fully with the opened, lines in his Railways Statement, it will be unnecessary for me to say anything on the Bubjeot. I may, however, remark that the vote proposed for additions to open lines this year Is £40,000, This amount, apparently the same as last year, is really considerably more, as last year's vote was taken to cover more than a year's expenditure, and only £28,309 was actually brought to book ogainst it during the year, while this year we expect to disburse the whole amount of the vote by the 31st March next. The expenditure on additions to open lines during 1893-94 was £8,142, during 1894-95 £28,309, and now proposed for 1896-96 £40,000. TOTAL APPROPRIATIONS FOR RAILWAYS.

The total appropriations proposed for railway works, including additions to open lines, Burvey, and rolling stock, and also the Midland Railway, is £215,550. Last year the amount was £313,028, which was the smallest amount on record, but this year the amount is much Binaller still. ROADS CONTROLLED BY THB MINISTER OF LANDS. The following table shows the amounts voted and expended last year and the liabilities existing at the close of the year on the several classes of roads administered by the Minister of Lands: Expended. JjjJJ" Main roads £43,200 £22,731 £23,536 Miscellaneous roads 20,800 9,973 10,721 Roads to give access N.I. Trunk Railway 20,605 17,841 4,015 Lauds improvement account 166,945 89,207 131,379 Government loans to local bodies account 50,030 48,943 21,841 Nativo.land purchase account 50,000 10,870 24,137 Totals... ' ... £351,580 £199,565 £215,629 The length of roads constructed was 677 miles, of which 368 were roads for wheel traffic and 309 for horse traffic. The total length of roads constructed and in hand was 1,827 miles, distributed among the several provincial districts as follows:—Auckland, 502 miles <, Taranaki 142 miles ; Hawke's Bay, 115 miles ; Wellington, 643 miles; Marlborough, 41 miles; Nelson, 5 miles; Wcstland, 28 miles; Canterbury, 160 miles; Otago, 181 miles; total, 1,827 miles. The main roads constructed, improved, and maintained have been :—Auckland, 394 miles of dray road ; in Hawke's Bay, 3 miles dray road and 85 miles bridle road; in Nelson and Mark borough, 207 miles of dray road; in Westland, 91 miles of dray road ; in Canterbury, 50 miles of road. On the main roads in Nelson and Westland it was found that many of the bridges were in an advanced state of decay, and extensive and costly repairß are required. The roadway also was found to be very much worn, requiring much more than the usual maintenance. The Cheviot Estato road works have been completed, and it is expected the new county will take them over and be responsible for their maintenance in the future. In Qtago the Catlins-Waikawa road was completed ; and occupation roads arc being pushed forward in the Tautuku forest, on whioh a great deal of settlement is taking place requiring the construction of many roads to give reasonable access. These roads advance much more slowly than the wishes of tho settlers require, but on the whole a full share of attention has been given to their wants. In Southland the opening of the Waikawa district has been begun on the coast south of the river, and the main road from Fortrose to Waikawa is being gradually metalled. Some works have been undertaken in Seaward Bush and on both banks of the Waiau—especially on the right bank. Roads have been made to most of the lands disposed of a few years ago. For the current year the sum of £35,650 is asked for the maintenance of main and miscellaneous roads; £160,581 for roads to open Crown lands and improved access thereto; £50,000 to construct district roads in blocks on which loans have been obtained; and £52,862 to improve the access to Native lands recently purchased. DEVELOPMENT OF GOLDFIELDS. Gold mining has now arrived at that stage, especially in regard to quartz and deep alluvial workings, where a mu"h larger expenditure has to be incurred than previously. The shallow workings are in many places becoming more exhausted every year, and unless deeper workings are opened out many of the present mines will suspend operations. It is therefore necessary that assistance should be given to further develop these mines, and as there ■is at the present time a good prospect of money bein? invested in mining properties reasonable encouragement should be afforded towards mining at deeper levels. Provision will also have to be made to give greater inducements to investors in mining properties to subscribe larger capital than heretofore to carry on extensive operations in order lo further develop our mineral wealth, and also 'by granting larger areas for prospecting purposes and giving a more securo tenure. A Bill to give effect to these objects is row before the Legislature. Considering the large areaß of auriferous aluvlal gravels there are in many pirts of the colony which cannot bo worked at a profit' without a good supply of water for hydraulic sluicing and other mining operations, it is necessary to afford assistance by way of subsidies towards the construction of water races and reservoirs on approved sites, whereby a 'arge body of wtA't can be conserved. These works should tend to greatly increase the number of peop-e who will find profitable employment in this branch of mining, as the extent to whioh alluvial mining can be profitably carried on is ontir ly regulated by the quantity of water availahle. The expenditure under the heading "Development of Goldfiolds" last year amounted to £5 865, with liabillti s amounting to £7.861. As last year was the first ooeaslon on which a special vote was taken for this particular objeot, a considerable time had necessarily to elapse before the preliminaries for expenditure on works" of this character could be arranged. This accounts for the small expenditure Since the close of the financial year further authorities have been issued against the vote totalling £16,341, and it is proposed to ask the House this year for a grant of £20,350. As the question of the mining industry is at present receiving great attention both within and beyond the colony a series of resolutions bearing upon tho subject have been submitted to the Goldfields and Mines Committee for consideration and report. Theso resolutions embraco a variety of subjects connected with mining, and it is hoped tho consideration of them by the Committee will produce beneficial results. PURCHASE OF NATIVE LANDS. The following arc tho results of the operations of tho Native Lands Purchase Department for the year ended 31st March last : Area added to tho public estato by purchases finally completed, 124,751 acres; portion of this area included in the work of tho year, 78,640 acres; progress on purchases si ill uncompleted at the end of the year, 307,031 acres; total area acquired during the year, 385,671 acres, as against 352.581 acres acquired during the previous year. Full details of the various purchases will be found In Parliamentary Paper G 1, presented to both Houses on the 25th July last under the provisions of the Native Land Purchase Act. 1892. The uncompleted purchases include the Opuatia block in ths Lower Waikato distriot, some sixty blocks in the K'ng Country adjacent to tho North Idand Main Trunk Railway line, the Rangiwea and Tauakira blocks in the Wanganui district,

the Mangapapa block at Waitotara, and the balance of the Awarua block in the Ringitikei district. These purchases will be closed upas speedily as possible by the Native Land Court, when necessary, excising the interests of nonsellers and dissentients. It is hoped that the bulk of these lands will bo ready for settlement within the ensuing three months. TELEGRAPH EXTENSION. The sura voted under this head last year was £31,000. The expenditure for the "ear was £19,229 (including £3,0!0 on telephone exchanges), but the liabilities on 31st March last amounted to £13,988 (inclusive of £3,750 for a new Cook Strait cable laid between Oterangi and White Bay). The vote proposed for the curront year is £30,000, which, in addition to a new Cook Strait single core cable, includes a number of n°,w lines, among them being Lumsden to Balfour.

PUBLIC BUILDINGS', Our expenditure on publio buildings is assuming somewhat large proportions. Last year £160,925 was voted for buildings—£lo9.77s under the Public Works" Fund and £51,150 under the Consolidated Fund. The expenditure which actually came to charge within the year was £100,202-namely. £s*, 190 (including £15,000 for school buildings) under the Publio Works Fund and £46,012 under the Consolidated Fund. The appropriations proposed for the current year amount to £142,905-namely, £97,305 under the Publio Works Fund and £46,300 under the Consolidated Fund. [Changes in the distribution of offices in the buildings at Wellington have enabled a Baving 0f.,£700 a year in rental to be effected.] I have notbeen able to see my way, owing to shortness of funds, to provide on the Estimates for the proposed new brick library at the Parliament Buildings. There is no item the omission of which I regret so much as this. Next year, however —no matter what the necessities of the oaeei otherwise may be—l am of the opinion that * brick building to hold the most valuable books and papers at present in the library should be erected. [The principal new buildings for the Judioial Department TwovidecJ for this year:

and - Jtesfo telegraph -jbffices are befag eredj&f j&t Tapanul and Quoenstown, and prpvlslott «£njtffif!Jor effecting' ments atrßeaollff Asylum, As none of the expenditure authorised lost-year for hospitals Had been brought-t6 charge prior ip March 31 the amount (£8.40Q) has been revajssa, as tho "bulk of it is resulted to coyer" existing JjfcWlities.- Provision nai been made Man expenditure of £4,000 on defences, and of this sum Dunedin will get £250.] - SCHOOL BUILDINGS. The total amount voted- last year under this head was £46,ooo—namely, £31,000 under the Consolidated Fund and £15,000 under the Public' Works Fund— and the whole amount was expended. Thiß year the same amount is asked .for, but as , a matter of convenience £20,000 has been placed on the Publio Works Estimates and £26,OQQ on the Consolidated Fund. NEW LIGHTHOUSES. A vote of £3,000 vitas taken last year for a new light on the East Coasv of "the North Island. Experts were consulted, and then it was found thai two,new lights were really one on Cape Palliser and the other on Cape Kidnappers. An order has been sent Home for the lanterns for both lights, but the funds at our disposal will not admit of both lighthouses being erected this year. The light on Cape Palljser is considered by the Shipmasters' Association to be the more important of the two, and it is therefore proposed to proceed with that work immediately. The amount required to complete the light on Cape Kidnappers will be provided next year, but provision to the amount of £2,400 is made on this year's Estimates.fox the lantern. CONCLUSION. The total appropriation proposed in the Estimates accompanying thin Statement amounts to £766,425 as compared with £970,658 voted last year, the amount under the several different aco.unts-being as follows: Public Works Fund, Part I £425,253 Public Works Fvmd, Bart 11. ... ' ... 36,800 Lands improvement account ... ....160,581 Native lands purchase account... ... 143,791 Total ... • £766,425 I would again remind hon. members that these votes under Part I. of the Publio Works Fund are to be for twelve months' expenditure only, whereas last year's votes had to cbver fifteen months. The actual expenditure during the twelve months.ended 31st Maroh last on this part of the fund was £307,182, and should my prognostications in respect to being ablo to reduce the number of men employed, more particularly on tho railways, be verified, it is estimated that our expenditure under Part I. will not exceed that of last year. Aa will be seen from the amounts proposed to be voted, the expenditure in connection with the lands improvement account will be somewhat increased., It may Be possible that owing to the drastio reductions.under Part I, necessarily entailed by the limited ways and means at our disposal, several very desirable works have not beon provided for, and it may be necessary upon, the Supplementary Estimates to make further provision to a limited amount. I have, however, endeavored to do the best I could with the funds at my disposal, and when the circumstances of the several districts of the colony are fully considered I think the allocation of the funds proposed will be acoepted as a fair and satisfactory one.