ST. LAWRENCE SEAWAY.

New Zealand Herald, Volume LXIX, Issue 21239, 20 July 1932, Page 11

ST. LAWRENCE SEAWAY.

THE TREATY 1 SIGNED.

VAST NATURE OF PROJECT. EIGHT YEARS' WORK AHEAD. By Telegraph—Press Association—Copyright. OTTAWA, July 18. A message from . Washington says the St. Lawrence seaway treaty was signed to-day by Mr. H. L. Stirnson, Secretary of State; for the United States, and Mr. Herridge for Canada. The treaty provides for the development of the St. Lawrence for 180 miles from Montreal to Lake Ontario. This will be an eight years' task and will enable ocean-going vessels to travel to the heart of the continent and provide up to 2,000,000 horse-power at a cost of 800,000,000 dollars (£160,000,000 at par). This gigantic project—from an engineering point of view second only to the Panama Canal—will provide a 27ft. channel. The agreement, which has to he ratified by the legislative bodies of the United States and Canada, deals only with the section of the St. Lawrence constituting the boundary between New York and Ontario, known as the international section.

The national, or Quebec, section of the river, says the Prime Minister, Mr. R. B. Bennett, is to be developed by the Dominion with Canadian labour and materials and no control or supervision, direct or indirect, will be exercised by the United Spates over this national undertaking. As both Canada and the United States possess rights in the international section, Mr. Bennett added, the development of the river for the combined benefit of navigation and power can only be undertaken by agreement and co-operation between the two countries. Therefore it was necessary to have a treaty defining the basis of co-operation.

The net capital cost to Canada has been brought down to 38,071,500 dollars (£7,614,300 at par), by 67,000,000 dollars, paid by Ontario to the Dominion on account of power work in the international section. Canada has been credited with the cost of the Welland Canal (128,000,000 dollars). These figures do not include the cost of installing power-house machinery or equipment for the development of power as it is financed independent of the treaty in the case of Canada by Ontario. The total net cost to the United States is 243,000,000 dollars (£48,600,000 at par). '