28 MILLIONS

New Zealand Times, Volume XXXIII, Issue 7851, 13 July 1911, Page 1

28 MILLIONS

PUBLIC WORKS REQUIRED ESTIMATE OF THE HON. It M'KENZIE DETAILED SCHEDULE TEOM OIJB SPECIAL EEPOETEE. NELSON, July 12, An important outline oil the Dominion’s future public worts programme was giveoi by the Minister for Public Works, tho Hon. E. McKenzie, at Wakefield to-night. In detailing, approximately, what he considored would bo required to complete the Main Trunk system of both islands, tho Minister specified the following items:— £ North Auckland (Kaiwaka to Kaikoae), VO miles 700,000 East Coast Main Trunk, "WailiiTauranga, 45 miles 350,000 Tauraniga-Opotiki, 80 miles 000,000 Opotiki-Uisborae, 60 miles 000,000 Gisborne-Napior, 110 miles 1.200.000 Total, East Coast 3,050,000 Stratford - Ongaruo (PohohuraOngarue), 70 miies 740,000 South Island Main Trunk (Ward-Domett), 100 miles ... 1,000,090 Midland-Glenhope landing, Tad-mor-Inangahua, GO miles ... 750,000 Cronaduu-Inangahua, 10 miles . 30,000 Otlra-Bealey, 9 miles 450,000 Caes-Bealoy, 15 miles 100,000 Total Midland - 1,330,000 Wc9tporWnan.gu.hua, 20 miles ... 280,000 Gatlin's-Whimahaka (HouipapaWaimahaka), 50 miles 500,000 Total Gatlins 7.600,000 Branch railways (say) another..., 7,400,000 Public buildings and schools ... 3,000,000 Heads ——— 4,000,00'J Additions to open lines ■ 3,000,000 Hydro-electric power and irrigation 2,000,000 Telegraph 1 extension, and harbours 3,000,000 Grand total - 28,000,000 This amount of. expenditure would provide a fairly complete system of public buildings, roads and railways, thoroughly well equipped; together with a complete telephone and telegraphic, system, and o large proportion of hydro-electrio power. FINDING THE MONEY.

There were only two solutions to the problem of how bo find the wherewithal, : namely, by borrowing dr by. surplus re* venue; but probably tho best, soundest and*,safest was by a combination of both —that was, partly from surplus revenue and, partly by loan. So long as the money was invested in reproductive works and investments that would pay their way he was strongly of opinion that these works should- bo undertaken and. completed within a reasonable period- He. would, therefore, provide the third of the* cost—or, say, .£DOQ,OOO a year—out , of surplus revenue and profits made from these undertakings themselves, and the .balance out of loan money, which should* be raised at the rat© of about a million* sterling per annum, SELF-RELIANCE. It had been suggested by Mr Massey that the self-reliant policy had been abandoned by the Liberal party, but he could, show that it was being carried out more vigorously than over, tho total amount, transferred to the Public Works fund, out of' revenue by the Liberal Governs meht having been .£8,030,000, making Urn total amount of loans since Sir Julius Vogel's borrowing policy was inaugurated as amounting to ,£81,030,000. Conservative Grovcrnmcnts had been responsible* for ,£38,000,000 of the total during twenty years of the time they had been in power, and the Liberals had raised .£42,000,0001 during a similar period. ' COST OF RAISING LOANS. It was important to turn to the question of how much it had cost to raise these moneys. The Conservative party had no less than seven millions in revenue deficiencies and the cost of conversion and flotation of its 38 millions, Tho Liberal party raised a larger sum at a cost* of less than two millions, so that there wa** no comparison between the business methods of the two parties in regard t* loan notations.