THE PUBLISHED EVERY MORNING. Luceo Non Uro. MONDAY, 10th AUGUST, 1903 POLITICAL NOTES.

Southland Times, Issue 19120, 10 August 1903, Page 2

THE PUBLISHED EVERY MORNING. Luceo Non Uro. MONDAY, 10th AUGUST, 1903 POLITICAL NOTES.

State Fire Insurance. The early part of last week saw the return to Parliament of ihe Stato Fire Insurance Bill. Our views on the proposal have been stated in this column on more than one occasion, and we are only led tc« refer ayain to the scheme because it lias lieo'n radically altered since it was lust before the House. The scope of the bill has been narrowed. Tho provisions dealing with the maintenance of Firo Brigades have been made the text of a separate bill, aud tne compulsory element has been jettisoned. In the modified shape the bill gees no further* than to provide for the establishment of a State Fire lusurance office to compete on equal tei'mfe with other companies doing business in New Zealand. The sweeping nature of the changes will be more clearly indicated if we glance at the discarded clauses. The bill last year was divided into three parts, the second of which contained the obnoxious j compulsory clauses. Part two, it was provided, could be brought into operation by special order of the local governing body in any district, or by a poll of the ratepayers. Upon its adoption a roll was to be prepared of all the insurance buildings in the borough, and every building was to be deemehi insured in the State office. The premiums might be collected as rates by the local body. Part two was a cardinal feature of last year's bill, for no business was to be done by the State office until three or more boroughs aud three or more counties, having a total population of 60.000 and a total insurance value of —1,000,000, had agreed to come under the compulsory clause. The Government practically proposed to create a monopoly for the State in fire insurance. But although the scheme has been improved by the changes effected, we are stfU dubious whether fire insurance is a class of business into which the State should intrude, and we are still indite d >übtful whether the State can successfully negotiate this class of risks. Ncr do we think that the Premier is more serious in bringing thio measure down this year than past sessions have shown him to be. The proposal serves its purpose in assisting Mr Seddon to pose as the friend of the people. It is one of the gaudy patches in the threadbare democratic banner. At, intervals since 1#95 the Premier has introduced a State Fire Insurance bill in Parliament, but he has never made an effort to have it placed on the Statute Book. On the contrary, he has been particularly careful that the bill should never have an opportunity of passing, and we <jo hot think *hds intentions this year are more genuine than they have been in the past. The Government has other reasons, > also, for hespatihg to embark in a doubtful experiment. The State could not open a Fire Insurance Department without a strong financial backing, and Mr Seddon at this juncture of financial stress is not likely to launch into an enterprise which might easily end in failure and the loss of large sums of money. In any case, even should the Premier proceed further with the bill, members will regard ie with suspision and require irrefutable cvidenco of its safety before they permit the scheme to "pass into law. Fire Prevention. The ibill introduced last week to apportion ihe cost of maintaining fire brigades between local governing bodies and Fire Insurance Companies , will be received with general satisfac- , tion. It will come as a 'relief to the local bodies upon whom tho expenditure upon fire. brigades falls heavily, and it i should not ibe objected to by the insurance companies, sinco : they are affepted; materially by the - success or 'ribn-success ■ of the ton- j gades. Thcvjaaintenanopvpfa thor- i Dughly efficient yati 0 * &*• i

gi-dte in each centre is of vital im- I portance to the companies, atid it is not unreasonable that they should be asked to pay a share of the c r «t of maintenance. We are awaie, of course, that the contributions of the companies are in reality paid by the insured, for if the payments requited by this measure should trench upon profits, the companies will raise the rates. The effect of improved' brigades should be, however, to deciMase the losses sufficiently to enable the companies to pay their contributions without diminishing their profits. The companies may say that they have nothing to do with lire prevention—that if the brigades are inadequate the premium rates will be high, while if they are well organised and efficient the rates will be proportionately low, but the advantage of laying a portion of the cost on them is that firo prevention is brought within their province, and in self-protec-tion they will endeavour to keep losses, and consequently rates, low. As they bear a proportion of the cost they have a voice in the management and control of tho brigades. The Fire Prevention Bill is so designed as to give them an equitable representation upon the lire boaid, whose duty it s will be to take over the management of the fire brigades throughout the colony. In other parts of the world Insurance Companies hire called upon to contribute to the maintenance of the fire brigades, and wo do not apprehend that companies doing business in New Zealand will raise any serious protest to tne proposals contained in this bill. There may, however, be a difference oi opinion as to the position which the State takes up. It is provided that the local bodies may raise rheir. half of the cost by levying a special fire rate, ancl in this will be included tho Government buildings in tho district. That is to say, the only contribution which the Government proposes to make to the cost of maintaining the fire brigades is the amount of rates which may be collected from their buildings. On tho other ( hand, the State is to have one representative on each Fire Board, which will consist of nine members. All regulations of the boards are subject to Ministerial veto ; the loans which they may raise are in the same position ; and the estimates of expenditure have also >to receive t.he ,— ,'nisterial assent. It is a question whether the Government is not taking to itself powers which are in excess of its contribution to the expenditure. And there if another point which requires investigation!. Existing brigades will come under tbe control of the Board, in whom will bo vested the equipment and properties of the brigades. Local bodies have 'incurred liabilities in establishing fire brigades, and axe they to be deprived of the asset's wh:la no provision is made for relieving them c»f the liabilities ? These are points which members of Parliament should scrutinise and direct attention to, so that no injustice may bo done to any local body and no power appropriated by the Government which is out of all proportion to the responsibility the State takes upon itself in regard to the costs of management. The principle of the bill is in the right direction, but it requires to be put into workable shape on an equitable basis. Elective Executive We are not sorry that Sir W* Steward's Elective Executive Bill failed tc find its way through Parliament. Tht only argument against the present method of forming a Ministry is that, as in the case of the Seddon Government. it is possible for the Ministry to usurp the power, which rightly belongs to the representatives of the people, and to attain a position which is contrary to the democratic ideal, and a menace to good Government and pure administration. The fault lies not in the constitution but in the party. How do members like Sir W. Steward and others reconcile their violent attacks upon the autocracy of Mr Seddon with tho record of their votes 1 If they think that the members of the Executive misuse the power entrusted to them, why are they so very carefoil that their votes shall never cause them a momant's apprehension ? The party has a direct and plain way of protesting against the way in which the Executive has robbed it of its rights and privileges. There is something in the suggestion that this bill is an indirect way of arriving at a desired position—the reconstruction of the Cabinet. If the party could gather sufficient courage to adopt a resolute attitude, the Premier would have no option but to conform to their wishes. Instead of dictating to the House he would lead it in tho proper sense of the word. The party and tho party alone is responsible for the arrogance of the Executive, and if the party finds itself in a humiliating position, the blame rests on the shoulders of those who form its rank, nnd file. Bui the remedy is also in their own hands, and their failure to apply that remedy is the result of political pusillanimity. Tho present method of remunerating members attracts two classes to tho House— those who are practically independent and can afford to leave their private pursuits, and those to whom the salary of a member opens up visions of comparative affluence. Tho result is that there are members in the House who cling to their seats, and who will suffer any indignity rather than run the risk of political annihilation in the flux and change that would follow a dissolution of the Government. It is this, which accounts in a large measure for the long tenure of office enjoyed by the present Ministry, and there will be no alteration in the condition of affairs now existing until members sink self interest and rise to a pi'bper laenso of their obligations and duty to the colony.