POLITICAL ADDRESS.

Timaru Herald, Volume XLIII, Issue 3527, 18 January 1886, Page 3

POLITICAL ADDRESS.

THE HON. W. J. M. LARNAOH AT DTJNEDIN. [BY TELEGRAPH.] Dunedix, Jan. 17. The Hon. W. J. M. Larnaoh addressed his constituents at South Dunedin on Saturday night. At tho outset ho explained that he morelj 1 addressed his constituents ns their representative and not as a member of the Cabinet, and therefore tho views he gave oxpression to must not be held binding on his colleagues. During all his experience as a politician m Now Zealand the lust session of Parliament was the most unsatisfactory and troublesome ho had evor mot with. "When tho House met tho Government had reason to bcliove that they commanded A working majority, but from some unknown or indescribable causo many of tho members to whom the Government expected to look to for support had minds of a very changeable nature, so much so that it wns found impossible to rely on their support, and Government were from timo to time placed m a very unenviable and difllcult position. Aftor the defeat of their fiscal policy, the Cabinet had unanimously made up their minds to resign, but at the request of 52 inombcrs of tho Houso they ■were induced to continuo m office. For his own part ho regretted that the advise of tho party wa3 accepted, and that tho Government did not carry out tlieir intention of resigning at that time, because he felt certain that had they done so, a di»aolution must have taken place before the session had been mneh further advanced, and that would have beon tho only remedy for tho present state of parties m Parliament, notwithstanding the difficulties m tho beginning of tho session, the Government were enabled to pass somo very important measures, such aa the Hospitals und Charitable Aid Bill, the Land Act, tho amendments m tho Mines' Act, the Mortgago Debentures Act, and several other measures that would certainly bear fruit m time to come. Their fiscal policy was introduced by tho Government not with a view of causing \indue taxation on the community, but for revenue purposes, and also with, a view of aiding as much os possible local industries. It had become apparent to tho Government that nnless somo assistance wore given m tho direction of aiding local industries, tho colony would never arrive at that satisfactory state of prosperity that she had a right to expect. It was all very fine for gentlemen professing to hold ultra free trade views to state that colonial industries would, thrive and be initiated and carried on to a prosperous stage without some nursing. Wo had had experience of what the fiscal policy of tho colony had been hitherto, and he did not think it could not be said it had been a froo trade policy, neither had it been a protective policy, i though, perhaps, it savoured more of the 1 latter. It appeared to him to have been an abortive protectivo policy with a Bcmblance or shadow of free trade m it. Although ho had been a free trader m his early life, having recently taken notice of the progress of countries m other parts of the world he had come to tho conclusion that unless this colony were to adopt a policy of protection to its own industries to a considerable extent, he doubted very much whether New Zealand would make those strides, and that progress Bho ought to make. (Cheers.) Ho compared tho position of Victoria and Now South j Wales, and said that ho had come to the conI elusion tmU a freetrade policy would not answer m a young country competing with other young countries and striving to renoh tho same goal to get as much population and increaso m prosperity as quickly a3 possible. What had been our polioy for somo timo past ? The policy of the Atkinson Government started m this way : After they succeeded m replacing the Grey Government they went m for borrowing a million a year and spending a million a year. As a mattor of fact they never borrowed within tho mark, but m five years under the pretended scheme of a million a year they borrowed scTen millions, and. they spent something over that during that time. They finished no public work 9, nnd tho consequence wns that at this time over a million of monoy was sunk m railways which had been commonced years ago and were yet unfinished. This expenditure was, of course, unreproductivc for revenuo, and would continuo so unless tho colony arrived at its position, and was prepared to say, " Wo will finish tho railway works that have been begun, and if we find it necessary to eommenco now works m the shape of railways which will bo reproductive, we will have them finished as quickly as possible" Thero could be no doubt of this, that directly it was decided that it was necessary for a work to be done it was economy to do it as quickly as possible. In Victoria, where thero was nearly four millions of monoy m tho Treasury tho sanction of Parliament for the borrowing of eight millions more had been obtained, with a view of carrying on that polioy that had been bo successful thero for some years past. Tills colony could not afford to discard what their neighbors were doiug, and he wished. them clearly to understand that wo could not afford to be left further behind m the race towards colonisation and prosperity. Because tho colony had incurred a debt to a certain amount it would not do for them to say, "We will not make it any larger, m order to do othor great works. ' Ho could not agree with that policy, because he did not look on tho debt which New Zealand had incurred on railways or reproductive works m tho samo light that somo people did. It was a capitalised ono. Wo had always got an asset, and it was no debt at all. The colony should not borrow money to make up any deficiency m the revenue, but whore thoy borrowed money on reproductive works it was quite a different thing, and so long as these works wore approved of by Parliament and sanctioned by tho people, Parliament was justified m further borrowing for works that would sooner or later become reproductive and that would open up the country. The late Government, m their pretended economy, had pnid away £1,400,000 a year m driblets. No great work had been finished, and tho expenditure was still iinpoproductive, for no other purpose than for political support. What he wished to see waa that further expenditure should be devoted by Parliament for special works, and that such works should be completed as quickly as possible. It would be understood that he was m favor of such a policy 83 would take hold of reproductive public works and have them completed, and that he was also m favor of going on with any new lines of railway that the Government and Parliament might consider dpairablo. There coiild bo no doubt that as tho House was at present constituted it would bo quite impossible for any Govornment to pass any business that would be satisfactory to the country. The House was constituted of that peculiar nature that no good or useful work would be done until such time as it would be found convenient for the House to go to tho country. (Cheers.) Unless it was chickon-heartedness, ho could not understand why the country should refuse to go on with the construction of large public works. Tho House m its temper last session had docked off half a million of money

from tho Public Works Estimates, and as a consequence there would be far moro distress m the winter months than the colony had yet witnessed. Major Atkinson m his Hawera speech had the assurance to chargo the Government with not being vigorous m their public ■ works policy, but seeing that their Estimates had been reduced, lie did not think it right that they should be found fault with on that score. He was not advocating the borrowing of monoy to carry on any great immigration schomo, becauso he believed that if it was decided to construct those railway works, which would open up tho country, those persons who were desirable as colonists would come over. It had been asked why tho Government did not resign m the face of the most determined and irregular opposition shown them. They had been led to beliovo that 52 members would give them a gonoral support, but it soon became apparent to every member of tho Government, that thero was an evil genins ever ready to hamper the Government, and tamper with their measures and, if possible, to 5 creato such confusion as would induce them to retire, but looking at the circumstances, and the treatment the Government had received, coupled with tho desire of every member of tho Cabinet to do what he thought best for tho interests of the colony, they determined, m tho interest of the party with whom they were allied, to retain otJico till such lime till they could place before the country such measures as they considered would be desirable m tho intorest of the colony. That was the explanation. Speaking 6f himself, had ho consulted his own^nterrst and f ccling3, he would have retired long ago, bnt ho had too much respect for those gentlemen assooiatcd with him to attempt to do anything not eonsonrfSl. to their feelings. So long as the party re-* mained together, at any possible aneonvenienco or loss to himself, he would stick to them until an opportunity was afforded the Government of placing their views and policy before tho country. The policy of tho Government would bo somewhat different to what had been pursued for year 3 past. It would not be of a rash or imprudent nature, and he hoped that when the timo camo, and an appeal had to bo made to the country, that tho peoplo would not hesitate to say whether they approved or disapproved ef it. It was only by a Government having sufficient moral courage to frame a policy that they considered for the good of the country that the people would be able to judge them. 'Xlieir polioy might bo unpopular m the eyes of a majority of the people, but if so he trusted that they would not bo blamed for having tho hardiness and boldness lo offer something new to the country. It hud beon staled m the Prc3s that a dissolution would be granted or asked for before Parliament met. He had no knowledge of anything of the kind, and so far as he knew the Government would meet Parliament at tho propor time, that was as early as convenient. Bo far as tho depression wns concerned it wns somewhat due to the general depression all over the world, and was intensified by (ho fact that a largo amount of money was annually sent out of tho colony for articles that could bo manufactured m it. (Hear, henr.) looking at the circumstances of tho colony and the fact that a quantity of money wns being unnecessarily sent out of it, ho had I come to tho conclusion that tho soonor tho Government of tho day gave nssistaneo to the nursing of industries that might crop up m the colony, and bo keep tho monoy m the colony tho better. As to tho East and West Coast Railway, he had been very much opposed to its construction, but having visited tho West Coast and seen its wonderful forests of limber, he had come to the conclusion that it would bo a very desirable work for tho colony to undertake. The timber alone would pay for the cost of tho line apart from the fact that tho district would bo of immense value as a mineral country. If the work had to bo undertaken it was better that it should be constructed by tho Government than under the arrangemont of last session. As to borrowing it was not tho intention of tho Government to borrow simply for the sake of borrowing, but the Government would not flinch from their responsibility, and they would not be slow m putting boforo Parliament what works thoy considered should be constructed for the good of the country. They would not hesitate to submit such a scheme as Parliament must bo prepared either to rojoct or adopt such a schemo as tho Government would be prepared to stand or fall by, and one they would not bo ashamed of. Ho would be m favor of tho colony borrowing ono million for the special purpose of advancing money to agriculturists and farmers at five per cent, socing that tho furmer had now when borrowing to contend with a largo rate of interest. He had long thought it was a legitimate thing for tho Stato (at any rate by way of experiment) to borrow a million at 4 por cent, with a viow of lending it out safely to farmers at 5 per cent. He would also favor tho loaning of a million to the local governing bodies, to bo expended on necossai'y works. He did not know whether his colleagues would agree with him m such a scheme. It was liis own notion, but he thought some such schemo should be adopted, and lie would bo prepared to support and promulgate it as much as possible. In conclusion, Mr Larnaeh summarised what ho believed would bo m the interest of the future of tho colony : — Practical financial reform as would bring State expenditure within its revenue, and thereby help to equalise the incidenco of taxation ; tho lessoning of the present great cost of tho conduct of education, and placing its management directly m tho hands. of the people, so as to have all classes of colonists treated aliko nnd fairly — (applause) — ; the strengthening and increasing tho powers of local governing bodies and j localising all rovenuc derived from direct taxation, the systematic and energetic development of the industrial resources of the colony by assisting industries to grow up j tho settling of the people on the lands of the colony, unfettered by a residential clause, but to limit the holdings m area. He had never believed m the residential clause, though perhr.p3 m tlmt ho was m a minority. He would favor an energetic, regular, and steady construction of railways through all parts of the colony where required, when sanctioned by Parliament after a careful consideration of their possible future value and prospects for revenue gathering. Ho would bo propnred also to give a hearty support to the cause of decentralisation, so that tho people might from timo -to time be ' entrusted with more governing powers m, their own hands ; also to entrust the State with powers to compel it, where necessary, to take private Innds at a valuation wherever the samo might be wanted for settlement, and to compel tho owners o£ land where railways went through to bear the cost of fencing, as was the caso with main roads, and so relieve tho State. Ho had long thought that it would bo very desirable that tho State shouldnotonlybo •mpowcrcd, bufccompelled, when called on by a district ,r a borough, to purchaso at a valuation any largo holdings which were desirable for settlement. As to fencing, lie thought it was a wrong thing that tho Stato could bo called on to fonoe tho railways, and not tho owners of land bonofitod, seeing that the latter had to do the fencing m case of roads. As ho had already Btated, ho would support a loan of ono million (by way of fcxporiment) , to bo loaned to agriculturists and farmors at 5 per cent, for tlioir relief, nnd also a similar sum to Counties and Road Boards. Ho would be m favor oE encouraging manufactories and local industries by legitimate means, arid by liberal fostoring care. More assistance should bo given towards dovoloping, improving, and strengthening the mining industry ; for, notwithstanding that some membors looked on • every penny spent m tho direction of mining as worao than thrown into the eea, he regarded miners as tho most intelligent and deserving class m the colony. Nothing seemed to daunt them, and if assistance was only given them at the propor time, and m the right direction, much would be done towards helping the colony m depressed times. Tho GQyorniuont, so fan as tho fund? placed at their disposal would permit, had dono all they could to developo the mining industry, lately they had been successful, thauks to the Nativo Minister, m getting somo portion of the King Country openod, and ho. (Mr larnaoh) believed that before long favorable reports would be received from that direction. So long as he had the honor of holding tho portfolio of Mines ha should do all lie could m the direction of giving every 1 assistance towards developing the mining resources. He would further support the non-political management of tho railways

of tho colony by a Board for each island, for he was satisfied that wcro the railways worked as a commercial enterprise, far better results would be obtained than at present. Ho had referred, so far as he was justified, to tho future polioy of the Government, and as to what his opinion the politics of the future should be. (Applause.) A vote of thanks to Mr Larnaeh for his address, and an expression of continued confidenco was unanimously passed.