THE OTAGO CENTRAL AND "DELTA.

Otago Daily Times, Issue 9117, 16 May 1891, Page 6 (Supplement)

THE OTAGO CENTRAL AND "DELTA.

TO THB EDITOB. I Sib, —Mr Vincent Pjke challenges me to prove that the Railway Commissioners ever stated that the Otago Central would not pay expenses. My authority for the statement was a paragraph to that effect, which was published in the columns of the Daily Times or of the Evening Star some few months ago, but not having a file of either at hand I cannot quote either the date or the exact words used; but I am certain a statement to that effect appeared. Mr Fyke assumes my letter was written by one "who cares nothing for the people but much for the per cents.," and, farther, requests me to "disclose my name." Mr Pyke is very much mistaken in his surmises. I am a Socialist; but having no desire to be ostracised for my creed, and as little to become a martyr on its account, I object publicly to disclose my name; although I will inform Mr Fyke who I am when next I meet him; and I may tell him in passing, although he may cot feel flattered, that there is no politician I entertain a higher esteem for than himself. ' Mr Fyke must, however, be aware that there are extensive squatting interests, the owners of which have an interest in increasing their values, located in the neighbourhood of the Otago Central, and, while under certain circumstances I would be as glad to see that line completed as Mr Fyke himself, I hold that before another rail is laid the State ought first to ascertain the present value of squatters' land in that and in all other districts with a view to the State's repurchase of such land, at not more than its present maximum value. Whereas, if that railway is to be completed before it is determined to whom the increased value per aore it will add to these properties' values is to belong (say, £7 10s per acre), then the people who pay the deficits in railway revenues are thereby made to gift this ' enhanced value to the squatter, which of right belongs to the people alone. That the Otago Central when finished will pay—if the Government will not dispose of the land, but lease it—is, I think, certain; and if proper care be taken that it be let in comparatively small holdings, I have no doubt it will pay to ran the line through it, but that it will pay at present is, I should think, unlikely, although it must, even up to date, have considerably increased the value of squatting and other properties. I am as anxioU3 as Mr Vincent Fyke to see the land peopled, but until the great question as to whom this increased value of squatters' properties is to belong—to the squatter or the people—l should prefer to see ail extensions of railways throughout New Zealand stopped, until the principle is settled, and the present maximum values determined, and until the State claim the right to repurchase at such value, at any time they may think fit in perpetuity, the State meantime taking all increases of value at their hereafter enhanced values, as otherwise the State might be asked to pay fabulous prices for land whose value has been.enhanced by the State alone. For if the present owners were to part with their land after the railways had run alongside their properties, the purchaser at the increased value would have good cause to claim the full amount he had paid for the railway improved property, although tbe increased value had been obtained by State expenditure. The State would thus be robbed of the increased increment of value, say £7 103 per acre, which of right belongs to it alone.—l an, &c., May 13. Delta.