THE POSTAL REPORT.

Otago Witness, Issue 1912, 13 July 1888, Page 22

THE POSTAL REPORT.

(Fuoa Our Special Cobrespokdbnt.) Wellington, July 10.

The postal report shows the receipts for the financial year to have been £311,608, an increase of £5148. The expenditure was £279,635, a deer ase of £41,657. The revenue was £40,973 in excess of expenditure, arising from an abnormal decrease in expenditure under the head of conveyance of mails by sea, which amounted to no le'-s a sum than £18,669. Many economies have alt o been carried out during the year. Gratuitous work for Government — free correspondence (£71,965), Government telegrams (£30,205), m .king the total earnings £213,790, or £143,144 m ire than departmental expenditure. £22,984 was spent on telegraph extension. 39,377,774 1p ( fcers were dealt with and 1,853,394 telegrams. Thirty-eight offices were established. The total number of offices open is 1118. Twenty-two inland mail services were established ; the total is now 600. The length of telegraph lines was increased by 100 miles, and is now 4646 miles of line and 11,375 miles of wire. The telephones subscribers number 2042, an increase of 102. L ist year the increase was 287.

THE SUEZ ROUTE.

With reference to the new agreement between the Imperial Post Office and the principal Australian colonies for the maintenance of a subsidised weekly mail service between tbu United Kingdom and Australia by the P. aud O. Company, the report says : — " So far as the new arrangerrent affects New Zealand they are favourable to the colony, which has only to defray the cost of the homeward mails. Our payments for this year should be considerably less than onehalf of the amount paid in 1887." THE SAN FHANCISCO VERSUS THE DIRKCT STEAM

SERVICE,

The postal report shows that there has been a falling off in the receipts in respect of the San Francisco service, due mainly to the direct contract service conveying a larger proportion of the correspondence than in 1886. In place of the 'Frisco service showing a profit, as ia 1886, there is a small loss of £729 for last year, and this without; taking into account any proportion of the refund which is to be made to the contractors. The contractors, ib seems, are entitled to a refund from this colony and New South Wales respectively at the rate of £1066 per annum from the date the soivice began, as per agreement. This has tho effect of increasing N<-w Zealand's share of the subsidy to £24,000 a year. On the othe>r hand, the loss on the direct service is £6707, in place of £11,070 in the previous year. Both services continued to be performed satisfactorily. The average time, however, by the direct service was larger than for the preceding year, and thi? was particularly the case with the inward mails, the average time of delivery to the first port of arrival being 44 days, compared with 41.69 days in 1886. The detour to Hobart is the probable explanation of this. The bonus earned by the direct service was £8443 against £2306. As the renewal question and the future of ocean mail services will be considered during the present session, the following statements have been prepared, showing what would be the probable financial effect were ifc decided to abolish either the San Francisco or direct service: —

(1) DirPCD Service, four weekly. — Statement showing the psfciraater] cost of a four-weekly mail service bpt.wepn the colony and the United Kingdom by the direct contract steamer, basod on terms of the existing direct service contract;, on the correspondence eonvpyed by both direct and San Francisco sprvices in 1887, and on thp assumption that the San Francisco service had been abolished. This statement shows a net profit to the c.ilony of £2535. The rates of payment uucler the dirpefc mail service contract are: — Letters, 11s perlb; books aud packets, Is per lb ; newspapers, 66. per lb.

(2) Direct Service, fortnightly. — Statement showing the estimated cost of a fortnightly service by direct steamers, based on existing contract payments and on the correspondence conveyed in 1887 by both direct and San Francisco services, and on the assumption that the latter service were abolished. This statement shows a net loss to the colony of £5450.

(3) San Francisco Service, four weekly. — Statement showing the estimated cost of a fourweekly service, via San Francisco, assuming the direct service were abolished, based on a contiuuance of existing payments and receipts in respect of the correspondence conveyed by both linps in 1887. This statement shows a net profitto the colony of £14,754. The London Post Office at present provides for the free conveyance of the mails between London and San Francisco.