NOTES AND COMMENTS.

New Zealand Herald, Volume LI, Issue 15664, 18 July 1914, Page 8

NOTES AND COMMENTS.

PERSIAN OIL CONTRACT.

IIIE terms of the British Government's agreement with the Anglo-Persian Oil Company, concluded on May 20, are given in a Blue Bock. The Government is to subscribe for £2,000,000 in ordinary and £1000 in pielurer.ee shares, and £199,000 in debentures, bringing the aggregate capital in shares and debentures to £4,799.000. The Government will hold a preponderating interest in the share, capital, while its two o.v-offu'io directors will have a power of veto on all decisions taken by the board. The price at which tho Admiralty will obtain the oil itself is not disclosed, the supply contract being regarded 'in the public interests as confidential," but it is stated that provision is made for the supply for a term of vears, on a favourable scale of prices, of a reasonable proportion of the total estimated requirements of the Admiralty on the present basis of policy for oil consumption, and with due allowance for expansion. Tho Admiralty Memorandum recalls the fact that the present First Lord stated in Parliament last July that a necessary part of the ultimate policy of the Admiralty must bo that tho Government "should become the owners, or at any rate tho controllers, at the source of at least a proportion of the natural oil which we require." The political and strategical aspects of the agreement are discussed in a critical spirit by the London Times, where it is pointed out that nearly all the oil-bearing areas proved or reported by the company lie in the neutral zone of Persia, a notoriously turbulent district, whero Great Britain has no preferential control or interest.

SWEDISH DEFENCE. The new Swedish Riksdag was to meet on May 11, but the Government decided to postpone the date of the reopening for >i week. The reason for this decision i 3 stated to have been the desire of the Government to ameud its Defence Bill, and it is believed that the amendments are to be carried out in a direction more calculated to meet the views of M. Staff's Liberals. That ought not to be a very formidable task. Both parties are agreed, in contradistinction to the Socialists, that , the strength of the national defences must j bo increased, and so far as their respeci tive proposals to this end are concerned ! the difference is much smaller than the I outside observer is apt to assume Both : are willing to extend the term of training of recruits and to construct several vessels for coastal defence, and what separates | them is the exact figure to which theso ini creases are to be brought up. What makes a compromise at the present juncture so important is the peculiar position I in which the three parties of the Riksdag j find themselves after the elections. The Conservatives have greatly strengthened their position as against the Liberals, but they arc still far from enjoying a majority I ill the Second (Lower) Chamber as a [ whole. They only number 86 out of a j total of 230 members, and cannot possibly I cany their Bill against the combined I strength of the Socialists and Liberals. | Nor is their position rendered appreciably easier by the fact that all important questions involving expenditure are practically always decided by a joint session of the two Houses of Parliament, for they would in a joint session still bo in an absolute minority of 34. The probable way out of the impasse, lies apparently in the direction of a coalition between the Conservatives and a portion of tho Liberals on the basis of a compromise, with the consequent split in the Liberal ranks.

OFFICES IN LONDON. " Whatever may be the final outcome of Earl Grey's Dominion House scheme, which has met with so favourable a reception in Australasia, the steady movement eastward from Victoria Street still continues," remarks the journal of the Royal Colonial Institute. "Following the example set by Victoria, the Australian Commonwealth, and West Australia, the, Government of New Zealand has provided another instance of the process of gravitation towards a common centre for business purposes and convenience of possible clients. A site in the Strand, almost adjoining the Queensland offices, has been acquired where buildings for the accommodation of the High Commissioner of New Zealand and his staff are to be erected. In addition to commodious quarters for the officials., the projected advantages to be provided include an exhibition hall for the chief products of the Dominion, easily accessible from the street and rendered attractive by a section showing Maori carvings and manufactures while on the floors above are to be a library and visitors' rooms, and emigration, business, and engineering departments. The Prime Minister of New Zealand, the Right Hon. W. F. Massey, has officially intimated that, though the proposed buildings will be proceeded with immediately, their erection will not prevent his Government from coming into the Dominion House scheme, if Earl Grey's proposal should meet with the approval of the other Dominions. Meanwhile, whatever Hie ultimate decision of the Cqnadian Government may be, the High Commissioner must soon' bo seeking more commodious premises. As an indication of the trend of feeling on the subject in certain influential* quarters, it may be noted that the Toronto Board nf Trade has lately passed a resolution warmly approving the Dominion House project." I.