THE CONFERENCE.

New Zealand Herald, Volume XLIV, Issue 13484, 10 May 1907, Page 5

THE CONFERENCE.

NAVAL DEFENCE, ■ AUSTRALIAN PROPOSALS. DECISION OF ADMIRALTY. AGREEMENT MAY BE TERMINATED. • By Telegraph.— Association.— (Received May 10. 12.33 a.m.) London, May 9. The First Lord of the Admiralty (Lord Tweedmouth) at the Imperial Conference yesterday stated that as a result of an interview with the Australasian delegates he was now able to summarise the Admiralty's decisions so far as Australia, and New Zealand were concerned. He was willing to leave the continuance of the present subsidy entirely in their hands, leaving them to do whatever they thought best. ' He realised that Australia did not favour the present mode of contribution, arid the Admiralty was willing to adopt the principle of Australia choosing her course of action for herself, • especially as the Admiralty wished to be relieved of the obligations under the agreement respecting the strength of the squadron to be kept at the station. They wished to unite the three- squadrons of Australia, the East Indies, and China stations. If Australia desired to establish her own naval defence system the Admiralty would offer no objection, and if New Zealand wished to continue;the present subsidy or establish submarine defences she would be afforded facilities for either.

Mr. Deakin in his reply followed the lines of his despatch of August, 1905, and stated that assuming Sir Joseph Ward's consent he would ask the Commonwealth Parliament to terminate the agreement with Great Britain and apply the subsidy to securing the harbours on the coast. By protecting these harbours they would relieve the Admiralty of responsibility in war time and also be providing a base of supply and shelter for merchantmen, and increasing security of their own traders. In the event of a cruiser raid, Australia would possess a power of resistance in her own ports ; also, when a British squadron arrived, she would be able to some extent to supply reinforcements. Australia's desire to terminate the agreement was not dictated by motives of economy, sin the new course of action would certainly cause a greater outlay. He recognised the restraints imposed on the Admiralty under the present agreement, and . warmly acknowledged the liberal manner in which Australia's wishes had been met. He was convinced the result would strengthen the Empire's position in those waters.'

Sir Joseph Ward said New Zealand . was .not prepared, c to embark on a heavy financial : responsibility m building and maintaining -a local navy, as the colony had much developmental work ahead, requiring the expenditure of millions. ' He did not desire to follow a dog-in-the-man-ger policy regarding Australia, and was willing to assist in releasing Ausfralia from the conditions of the agreement to enable her to adopt a policy she considered better in her interests. He would consult his colleagues and Parliament, and recommend this course, leaving New Zealand free to make her own arrangements with the British Government for defence. New Zealand had no need to hurry matters.' • ; FURTHER RESOLUTIONS CONSIDERED. SIR JOSEPH WARD'S PRO- ..';', POSAL. ENCOURAGEMENT TO BRITISH , TRADE. , London, May 8. At the Imperial Conference yesterday Lord Elgin moved, " That the Conference, recognising the importance of promoting greater freedom and fuller development of commercial intercourse within the Empire, believes that these objects may best be secured by leaving each part of the Empire liberty of action in selecting the most suitable means for attaining them, having regard to its own special conditions and requirements." f

Sir Joseph Ward - moved the following addition, "and that it is desirable to co-operate in all matters of mutual interest." ;

Dr. Jameson said he objected to the form of the resolution, as if adopted it might be considered an abandonment by the Premiers of their previous attitude. -

A deadlock seemed imminent, but ultimately Mr. Deakin moved the insertion after the words "the Conference" of the words "without prejudice to the resolutions already adopted and the reservations of His Majesty's Government." '•

The resolution with these amendments was unanimously carried.

Sir Joseph Ward moved, instead of a resolution of which he had previously given notice, "That it is advisable in the interests of the United Kingdom and of the selfgoverning colonies that an effort in favour of British manufactured goods and British shipping should be supported as far as practicable.";-

The motion ; was carried unanimously. . ■ ' , ; - : :.:■'■;