OPENING OF THE PROVINCIAL COUNCIL.

Wellington Independent, Volume XXVI, Issue 3219, 7 June 1871, Page 2

OPENING OF THE PROVINCIAL COUNCIL.

TUESDAY, JUNE 6. The Council met at the Odd Fellows' Hall this tiftoriioon'at two. Presont — Tbo Speaker, the Provincial Secretary (Mr Bunny), Provincial Treasurer (Mr Halcombo), Provincial Solicitor (Mr Borlase), Messrs G. Huater, E. Peai'ce, J. Dransfield, Ludlam, Hon. J; Johnston, Masters, Crawford, Brandon, and Anderson. His Honor the Superintendent having entered the Council Chamber, delivered the following SPEECH. Mb Speaker axd Gentlemen op the PitoVINCIAIi Council. — In opening the present session of tho Provincial Council it will be unnecessary for me to do more than barely advert to the apodal circumstances uudor which I meet you. Thoso will, I bolievo, be held by you to be sufficient to entitle mo to receive an attentive and benovolent regard for the proposals I may make, and an oarnosfc cooperation, towards carrying them out. For many reasons I would have desired that a longer time might liavo intervened between tho dato of my election and that of the opening of tho Council ; in order that I might have had the opportunity of making myself personally acquainted with tho presont circumstances, wishes, and conditions of different portions of the province ; and also that I might have been able to give a more minute consideration to the proposals which I am about to submit for your approval. Tho near approaoh, however, of tho next session of the Parliament of tho colony has precluded mo from further entertaining such a wish ; and I am the more reconciled to tho disappointment when I reflect, en the one hand, that I have grown up with tho tho earliest growth of the province and shared in almost every one of its struggles and enterprises, find so acquired an intimate knowledge of and sympathy with the work of the people in almost every walk of life ; and on (ho other, that whilst I havo no hesitation whatever as to tho soundness of the general principles of the measures which lam about to introduce to your consideration, I can with tho utmost confidence rely upon your supplying any omissions and amending any errors which a more careful review may suggest. Within a few weeks I have had to form an Executive Council, and with tho assistance of its members to agree upon a policy to present for your consideration and approval. I deem myself fortunate in having been able, undor tho circumstances, to secure the services of gentlemen who woro at once capable of giving me valuable advice, and likoly from their united influence to secure your conQdonce. If I say that the presont Provincial Government occupies no /special platform and adopts no particular party cries, ib is not because I have any wish to speak disparagingly of the employment of those, sometimes nocossary, poli-. tical formula; but rather because the present Provincial G-ovomuient considers that; pressing I practical considerations demand its attention ; and that tho mind of tho province ought not to bo distracted by tho consideration of mere theories of government from a dispassionate plain business view of all tho circumstances which surround it and the difficulties of the situation. In placing, therefore, before you the actual condition of the Province, whilst it will bo sufficiently apparent thut its circumstances are temporarily embarrassed ; yet, it will not consequently follow that the Provincial Government will in vito you to lay the blame of tho existing state of affairs altogether upon this or that person or party or system. It resolutely shuts its ears to recrimination ; not merely because it is an unprofitable indulgence in itself — the resort of weak minds in distress — but also because it believes that tho prosent state of things is not the consoquenco of any special fault or faults, but tho natural result of development. That, in fact, if it would be ridiculous to donounco parents because their offspring were attacked with measles or hoop-ing-cough, and proposo as a remedy to massacre tho innocents, it would no less bo unreasonable to imputo particular blame because a young community had got into difficulties or despair of its being restored to healthy action. The wise course in both instances is to avoid lamentation and adopt prompt remedial measures. It is in this spirit that tho present Provincial Government accepts the situation. The financial position of tho provinco may be stated as follows, viz. : — Funded dobt £259,000 — Tho interest and sinking fund on this amount is guaranteed by the Colonial Government, provided for out of capitation allowances and charged on the consolidated revenue. Unsecured liabilities £38,850 — These are all more or less urgent. Estimated expenditure necessary for carrying on the different provincial departments for the financial year ending 3lßt March, 1872 ... £33,588 Making a total of requirements for tho current year amounting to £72,d38 To meet these imperative demands for tho current year, tho ordinary income available within the year cannot prudently be estimated at more than £34,256, which leaves a deficiency of £35,182. Under such a state of circumstances as I ha7O just placed before you, tho choice obvioualy lies botwoen two courses of action. The one consists in frankly acknowledging our inability to meet our engagements, receding at once from aur position with its privileges awd its duties, and calling upon those endowed with superior intelligence and resources to administer those affairs which wo declare ourselves imablo to manage. There undoubtedly exist many who think that this course should bo summarily adopted ; whose minds are oppressed with tho incubus and expense of excessivo government ; who are puzzled with tho intricacy of the governmental machinory, and yearn for simplicity, uniformity, and centralisation ; who regard with ill- disguised satisfaction tho pressure of pecuniary embarrassment on the province, and calculate with perhaps too facile an arithmetic the poriod at which your provincial institutions must succumb to circumstances. Whilst it may at once bo conceded that such opinions aro conscientiously held by a groat many, yet the present Provincial Government does not recommend tho adoption of such a summary course, Quito apart from the groat constitutional questions involved, it has been guided to this conclusion by tho following, among othor, reasons, viz. : — It has no desire to see this provinco become- tho subject of oxporimont: it fails to procuro any hopo of relief, either in regard to present or future local burthens, from placing tho provincial estate in liquidation ; in caso tho administration wore otherwise vested, it is unable Batisfaotorily to answer tho question asked ages ago, "Who

shall shepherd the shepherds themselves ?" it is of opinion that the people of the province through their elected officers, are better able to manage their own local business than others are for them ; it thinks that even if any fundamental change were decided on, it should bo gradually introduced and carefully adopted ; moreover, it believes that, notwithstanding temporary embarrassments, the financial position of the provinco rests on a sound basis, and that its ultimate prospects are good. If, however, the Provincial Government discards the idea of at once resigning your affairs into foreign hands, it is prepared to adopt the only other course which is open, viz, resolutely to face the difficulties. I may at the same time assure you that tho spirit in which this attempt has been resolved on does not consist In any aspiration after high governmental functions ; nor in a desire to bolster up any effote system, much less to obstruct the freedom of future action. The Provincial Government aims at establishing throughout every part of the province a self-supporting system of management, resting on the simple but sure ground of local self-reliance, de-centralization (which is a long word for local power) and tbo recognition of its equivalent " local responsibility" — the end and object being local progress, The steps by which the Provincial Government will endeavor to meet tho existing difficulties are these — It will propose to make additional demands on the local sources of revenue for the maintenance of your main and district linos of road, and for tho education of your children. It will make efforts to realise certain portions of the public estate which have been ' lately unproductive ; and it will further propose to borrow money, upon specific security, in order to provide for tho following services, viz : — Uncovered liabilities £38,850 Arrears of survey ... £27,000 Roads, bridges, and sundry undertakings ... £30,000 I Making a total amounting to ... £95,850 I may horo anticipate some queries, to which replies may reasonably bo demanded. With an estimated ordinary expenditure not exceeding the estimated ordinary income, would not the most prudent course be to continuo for a time to conduct the affairs of the province modestly and sparingly, and without borrowing more money? My explanation and reply is to this effect : I have specified three objects on which it is proposed to expend the borrowed money, viz. Ist, To provide ineaus to discharge actual liabilities. I assume that this debt must be paid ; I show that the aunual revenue is wholly insufficient for the purpose ; and I therefore conclude that the only alternative is to borrow the necessary amount. 2nd. For arrears of survey, is of the same chai'acter as tho last ; for it can only be regarded as a debt, although there are no ostensible creditors, and it may not bo a debt of that description perhaps which can be sued for in a court of law. But it is nevertheless a service for which ib is absolutoly necessary to provide, in order that contracts with purchasers of land, who paid their money long years ago, may be completed. At the same time, lam bound in justice to the provinco to stato, that this service is for arrears of work, which have their roots .stretching out into a period antecedent to tho introduction of the Constitution, dating back to tho time when the Imperial Government and the New Zealand Company disputed each other's surveys, and when extensive grants of land were given in compensation, leaving legacies of large arrears of complicated survoys; the oxpenso for which lha co'ony, I admit, ought to pay, but not a particular province, which had not even an existence at that date and which never afterwards derived any special benefit from the lands in question. 3rd. Roads, bridges, and other Provincial public works, constitute objects, the necessity of which some, I admit, may bo disposed to call in question, if money has to bo borrowed for the purpose. Yot there are many who, whilst ontertainiug tlus objection, would not hesitate to advocate railway extension in the colony under colonial auspices. But tho construction of railways cannot bo otherwise than unprofitable, if the linos are not fed by roads. In goeking, therefore, to obtain the means wherewith to incur expenditure of this character, tho province is really aiding the policy of the colony at largo. I also obsorvo that owing to the present bare condition of tho main lines of road and the destruction of some important bridges and the injury done to others, if funds boyond those which can possibly accrue from ordinary revenue be not supplied for those services, serious damage to the trade of the province will be sustained and a proportionate loss to tho revenue both of the colony and the provinco. Moreover, just when considerible additional demands are being made on the prosont, in tho shape of local taxation, it would bo most discouraging and inopportuno to relievo the future from its fair proportion of burfchous. On the above grounds, therefore, I am prepared to justify the proposals. It may, however, be asked whether tho circumstances of tho province really warrant our contracting a further debt ? In considering this question wo must tako into account tho extent and valuo of the Provincial estate. The following figures will help to a conclusion, viz : — Acres. Area of Provinco , 7,200,000 Native Lands ... .. ... 4,810,000 Purchased from Natives ... 2,360,000 7,200,000 Sales of land effected prior to this date 1,178,611 Eestato of Province remaining for sale 1,181,389 2,360,000 Valuation of Estate of Provinco available for sale — 1,180,000 aoro3 at! -As £826,000 Reclaimed Land 30,000 Wharf ... ... ... 30,000 Wanganui Bridge 33,000 Total £016,000 If, therefore, the provinco borrowed an additional £100,000, its whole indebtedness would amount to £359,000, while its estimated assets would amount to noarly throe times tho amount of its debt thus increased. It may be objected that this valution is excessive on tho ground that the remainder of tho Provincial landed estate for sale only consists of lands which have been culled. But upon this point I cull attention to tho fact thab tho largo expenditure which has boon made and ia proposod to be made provinoially in the shapo of public works, and the largo undertaking which (lie colony is proposing both in public work 3 and immigration aro daily adding increased value to this residuo of tho estate. But it may further bo asked can tlie province bear tho additional annual burthen on its royfrnuo to pay for interest and sinking fund: in other words has the Provincial revenue any such elasticity? The additional charge may bo stated at say £6,000. In answering this enquiry it will bo fair here to tako into account tho increased power of payment which works or improvement such as thoso proposod would confer on tho provinco. But apart from this consideration, 1 oxpross a belief that a Bounder sy3tom with regard to the financial relations botween the General and Provincial Governments muat bo introduced and that tho effect will be, considerably to improvo tho position of tho latter. I hold that the existing system of Provincial charges is unsound and that if the General Government assumes the administration of any colonial department it should defray the charges of that department out of the colonial revenue. That if it thinks fit, for instance, to maintain at a considerable cost, a body of militia and volunteers in any proviuce ; it should dufroy the coat out of colonial revenue, and not charge Lho raaintonanco of a colonial service against tho particular province in which the office of the department may happen to be situated. Similar observations apply to tho Custom-

I house departmental charges and those of other ! ser rices. This is not fctio fcimeor place to enter at large upon the consideration of this important question, and I content myßelf &t present with observing that the former charges should have been transferred to the General Estimates contemporaneously vrith the introduction of the capitation allowance system. Not only will a more wholesome state of finance be established if the provincial charge system be abolished j but I believe that an appreciable relief will be afforded. Under the proßer,fc system calculations are rendered uncertain, and control impracticable for one power imposes charges on the other without recourse. This is the place to refer to another source of relief to the finances of the province ; which, I may observe, it has been fashionable to squeeze on both sides — a process which cannot fail to impair the elasticity of any body, if applied for a sufficient length of time. The cost of the Wellington gaol amounts to about £2140 per annum. It would be nearly a self-supporting institution were it not that whilst the entire province pays the cost, a particular portion of the province only reaps the benefit of the labor of the prisoners. I have had this labor carefully assessed, and its value to the City of Wellington amounts to £1283. Again, the maintenance of the Wellington Hospital costs the Provincial Government about £1900 per annum. Formerly the General Government bore ft proportion of this charge in consideration of the relief - given by the institution to natives. The province has been squeezed on this side by the withdrawal of that aid. In all countries with which lam acquainted, hospitals are a strictly local charge. The City of Wellington has become possessed of its municipal rights; the time, therefore, has arrived for it to bear its equivalent burthens. Further, the care of the destitute and the burial of paupers is a strictly local charge, and I know of no exceptional reason why the cost of the relief of the poor of the city of Wellington should bo borne by the inhabitants of the rest of the province in addition to that of their own poor, who at present are relieved by charitable individuals in the respective neighborhoods. Up to the present time the cost fov charitable aid haa_ been a considerable charge on the whole province. As Superintendent of the province I have to hold the scales equally ; and whether the overweight presses from the side of the General Crovernment or town municipalities, it becomes my duty to point out whenever and wherever the public buxthen3 press unI equally. I do not propose to pursue this question further now ; I believe, however, that I have indicated sufficient to show that in a great mnny directions the provincial revenue has an elastic capacity. I pass on to notice briefly the principal measures, which have been carefully prepared j with the advice of the Executive Council, and already been placed in the printers' hands, and will be shortly laid before you, by means of whijh it is proposed to give legislative effect to the policy of the present Governi ment. They may be shortly styled : Sale of ! reclaimed land, education, educational reI serves, district highways, toll bars, tramways, railway reserves, land on deferred payments, and for special settlements. The first bill proposes to confer authority to enable the estate in question to bo made productive. The two next deal with the all-important question of education. It is proposed to establish an educational board, and the bill is in many respects similar to an act which is said to have worked well in the province of Nelson. It is proposed to utilize to some extent the educational reserves by creating a fund for the purpose of reward* ing those scholars who have distinguished themselves in the provincial schools, and assisting them to obtain a high class of education. The District Highways Bill recognizes the liability of the whole landed European property of the province to contribute towardg the maintenance of the district highways. Hitherto the district boards have been strug* ghng and weak bodies, unable to contend successfully against recusant ratepayers. They have hitherto done good service in the work of colonization j for they have made and maintained by their own self-imposod rates, assisted by grants in aid, upwards of 200 miles of road within the province. And if they now surrender the acreage rate for a valuation rate on lands and landed properly, they will receive in lieu thereof the groat boon of a general con« tribution from all ; for it is proposed that the anomalous exemption from land tax of owners of land abutting on the main trunk lines shall cease. I oxprea3 a hope that the time is not far distant when a wiser policy may prevail, and native landed property be compelled to bear its burthen equally with European — share and share aliko in proportion. The policy of maintaining the main trunk lines out of general provincial revenue which prevailed since the first year of provincial admin« istration, ie is proposed to continue ; and it ia proposed to further aid the revenue in that behalf by the imposition of tolls at convenient sites — particularly at certain bridges — and I may here express my opinion that large con* tracts for bridging rivers will be undertaken upon security of tolls. The time, I hope, iB nob far distant when the management and maintenance of these trunk lines will be hauded over to the respective road boards through which they pass. We may reasonably suppose that such a transfer will'not be postponed for any great length of time after a truuk railway shall have been constructed through the province. -I may observe that it is encouraging to find that the Kaiwarra toll-bar has just been let &t a good advance on the rate of last year. It is, indeed, the feature in this kind of direct taxation that it is self adjusting, ie. t the more the use of the road, the larger the funds available for keeping it in repair. The Tramways Bill authorises the construction of lines of this description on the basic of certain concessions. I have reason to believe that advantage of this measure, if passed, will be taken. If so, it will be a great advantage to the general advancement of sett-lenient ; aud also I believe it will bo without burthen, if not with direct aid, to the provincial revenue. The Railway Reserves Bill is a very importaut measure, and iv addition to the necessity of making reserves, the question demands your considreation, in order that you may not have to repurchase lands which you alienated the day before, at double or treble the price to-morrow. With regard to the sale of land on deferred payments, and for special settlement, I believe that the time has arrived when you are bound to slimuliite scttlomonts if you wish to keep pace with the times. I believe further, that a Homestead Bill will at no distant date be recognised as an important feature in the land regulations, and an important colonising attraction of the colony of New Zealand at large. There are Borne special subjects to which I desire to refer, before procceeding to invite your attention to the Estimates for the year. I first notice the conclusion of a contract for the erection of a patent slip, under a provincial guarantee. It is still necessary that some action should be taken by the Council in reference to the foreshore, in which I am sure you will readily concur, and I think the Province may bo congratulated on the proa« pects of a speedy consummation of its wishes in reard to this important undertaking. I am happy to be able to inform you that the bridge over the Wanganui river is all but completed. Here we have another instance of the province achieving a great colonial work — for of such a character is this undertaking; and whilst I may justly congratulate you thereon, it, is at the same time not to be forgotten that the credit of this great undertaking iB dve s like the one I have just referred to, to the former provincial administration. I wish I could inform you that every difference had been adjusted with regard to the much vexed JManawatu land purchase question. The late superintendent claimed on behalf of the province the Buovof £15,000 for fifteen thousand acres of provincial pstato taken by the General Government and given to certain natives a'a additional reserves. My opinion coincides

"with that of my predecessor as to tho validity of the provincial claim. You .will^ probably however, concur with me in the opinion that the course which it will bo beat, in tho general interests of the province for the Provincial Government to pursue in regard to this claim requires a very careful consideration. I candidly inform you that for the present I await upon circumstance?. The Provincial Government has been now for a long time in lodgings, aucl the Provincial Council has had to make shift for an assembly room ; not only has much personal inconvenience been submitted to in consequence of this want of proper accommodation, but the efficiency of the public service has been impaired, without securing any corresponding amount of economy A 7 moderate ratP^ftill therefore be proposed, in order to provide for the erection of suitable provincial buildings on the site of the Government reeervo on the reclaimed land. A survey of the Hutt river, abovo and below tho site of the broken bridge, has been made, and Mr Blackett, by permission of the General Government, has examined the banks of the river and suggested different sites. His report will be laid before you. I now refer to the estimates of revenue and expenditure for the year ending 31st March, 1872. I may say that they have been prepared with the greatest care, and will be submitted to you in detail without delay ; and I do not propose to do more than refer to their amount and general scope. I have already informed you of the amount of the total estimated income : the items are as follows, viz. : —

Total ...£31,256 10 3 I pass on to a review of the estimated amounts undor the several classes of expenditure for the same period, framed upon the basis of, and in accordance with the proposed policy of the Government. In doing so I will contrast tho several amounts with those proposed for the financial year ending March, 1869 (the latest year which admits of a fair comparison). The figures stand thus, viz. : — Year ending Year ending Mch31,1869 Mch31,1872

* Wanganui Bridge. J Interest at present charged on Consolidated Kevenue. You will perceive that a reduction (in some instances considerable) is proposed for nearly all the services of the present year, as compared with the year in contrast; with the exception of the following classes, viz , education, eurveyo, roads, and bridges. That; is to say, whilst the departmental charges have been decreased, the estimated expenditure for the important public works and undertakings just enumerated has been largely increased. Whilst on the subject of the estimates, I may etate (am 1 , it is with satisfaction} that the General Government, upon my representation of the efforts in various directions "of local rating ■which the Provincial Council were about to be invited to make, have removed the embargo placed on our land revenue from the Ist March last. I have thus been enabled to defray the departmental charges sanctioned by you up to 31st March, and a balance remains in the bank at the credit of the year's revenue which ■will, I anticipate, be nearly sufficient to pay similar charges for the last two months, co Boon as your sanction shall have been given. I have not referred specially to the subjects of immigration, progress of railway surveys, and road-making carried on in different parts of the province under the General Government auspices, because you will gather from the immigration proposals and other reports which are appended to and will be printed with the address a better conception of what has been done and is dping in these respects, than could bo furnished in any other form by me, considering that the administration ia not provincial. If an additional argument were required in favor of stimulating immigration in this part of the colony, it is furnished by the smallness of the increase of tliG population of the proVince as 9hown by the last census returns. I have endeavored faithfully and earnestly to place before you the etate "of the province, and the remedial measures which fche Government proposes. It is a policy of self-help, direct taxation, and progress, in which the present Government entirely believes. lam sensible that a very large demand is about to be made on the energies of the people of the province, through you as their representatives — you are, in fact, asked plainly to help yourselves as the sole condition of your progress. William Fitzheebeet, Superintendent. Superintendent's Office, Wellington, May 25, 1871. Sir, — In compliance with the provisions of the 39th clause of the Public Works and Immigration Act, 1871, I have the honor to roquesfc thafc arrangements may be made for the introduction into this province, during the next twelvemonths' of the immigrants enumerated in the memorandum enclosed herewith. I have the honor, &c., William Fitzherbeet, Superintendent. The Hon. the Minister of Public Works, Wellington. JfEJIOBANDrar of the requirements of the province of Wellington with regard to Immigration during the year 1871-2. 1. 500 laborers, with ilieir wives and families. — To be all able-bodied men, agricultural laborers or navvies, with a few mechanics, men who can be drafted off and settled in new country in the neighborhood of public works, on which many of them would find employment. These people should be imported not later than Ist March, 1872. They should bo called upon to pay £5 per statute adult for their passage, or to give a promissory note for £7, payable in twelve months after arrival in colony. 2. Unmarried females. — As many up to five hundred as can be induced to immigrate. Free passages should bo given as an inducement, and all married couples applying for passages should have notice of the desire of the Government to bring out unmarried females under & *,heir protection. 3. Assisted Immigrants t say 400. — Friends or relations of colonists, work people sent for by employers of labor, nominated by persom residing in New Zealand. The number of these would depend on the demand, and they will be introduced on a prepayment of £5 per statute adult at the time of application being made for their passage. 4. 1(0 Families Scandinavians. — To be all married couples, with as many single women bb will come out under their protection. They Bhould be all farm laborers and lumberers, as they would bo introduced mainly with the

view of locating them as pioneers in a bus! country. To be introduced on the same term as class one (1). Manufactnrccs. — In order to encourage tin introduction of skilled labor in connectioi with capital for the establishment of woollen linen, paper, or other manufactures, offer-i should bo made to introduce, free of chargt for themselves or their families, skilled la borers under at least one year's engagement tc any hona fide intending manufacturers bringing out tho necessary plant for tho establishment of a factory within the province. It is contmplated by these proposals to introduce from two thousand to three thousand persons, within the period of the nest twelve month b. Memorandum in reference to the public works in progress within the province of Wellington. The General Government, by means of the sums voted during the last two sessions of tho Assembly for tho formation of roads in the North Island, have engaged in extensive operations within the province. On the West Coast numerous working parties have been engaged in forming the worst parts of .the Hue, with tho intention of gradually uniting them and forming a continuous line to Taranaki. That part of the road between Waitotara and Wanganui which was laid off some years ago by Mr ITogg, and formed by the province, has been adopted as the main lino and will be compacted, with bridge over the Jvni Iwi and Oketu, in the early part of nest summer. Between the town, however, and the commencement of tho work undertaken by the General Government, is an unformed portion of the road, which is at present almost impassable. It will be necessary that this work (about 8 miles of formation and expensive metal) should be undertaken, if possible, by tho Provincial Government, otherwise the settlement of tho valuable districts lying beyond will be greatly impeded, and the growth of grain or any other produce-seeking outlet at Wanganui will be prevented. One other groat work is the formation of an entirely now road from Foxtou at the mouth of the Manawatu to tho Ruataniwha plains, a distance of 70 or 80 miles, and running through Palmerstoh and the Gorge into that block of country just now acquired from the natives by his Honor Mr Ormond. It is impossible to over-rate the importance to the future prospects of this province of this great work. The road opens up a magnificent country hitherto entirely unknown, or not favorably known in consequence of the want of means of communication. Pulmerston, 25 miles from the Muimwntn port, nnd 15 miles from tho Gorge, is a fine open flat of about 1000 J.ct'cs, m -rounded by timber. A tram way will be laid to the township of Foxton as soon as the summer sets in, and high piles of sleepers of .'the finest totara now laid by the side of tho roadway for some miles testify to the fact that abundonce of material for the projected work will be readj when tho ground is sufficiently dry for its being used. I attach very great importance to this tramway. There cannot fail to ba an immense export of timber from Foxton immediately after its completion, and I have very good reason for believing that Manawatu will be called upon to find the chief part of the totnra timber required for the public works in the other island as well as in tho North. Palmerston is the centre of the bush country, and as the whole of the soil is of the richest possible description, I am confident that the crop of timber if judiciously lutabanded will ecrre lo find thousands of industrious men the means of making themselves comfortable and prosperous homes. Even now Palmerston, despite bad roads, displays quite a lively appearance. Houses arc going up in every diroction ; and what is a most favorable sign, all .those who have become acquainted with the locality appear anxious to acquire a homestead. I estimate that within two years, or even less, Cobb's coaches should meet at tho Gorge from Wellington and Napier ; and I may oven add from Wanganui and the Wairarapa, if, as I believe is in contemplation, the road from Masterton to the Gorge and from Palmerston to the open country of the Manawatu-Rangi-tikei block bo commenced during tho current year. In fact, as the result of the expenditure of tho Wellington proportion of the road making loan, wo may fairly expect to see at least 150 miles of main road or tramway traversing a country on which, until tho last few months, hardly a dozen settlers were located, and opening up for profitable occupation at least one million and a-half of the most magnificent country in the world. There is a small piece of bush road between Palmerston and tho Manuwatu-Rangitikei which urgently needs to be opened. It is at presont absolutely impassable, even to horsemen, and the consoqubnee of this barrier is that hundreds of persons residing in or visiting Rnngitikoi remain, against their will, unacquainted with the Manawatu. In order to occupy the country profitably, tho province also must everywhere force roads, or, still better, cheap tramways into their country. _ That t'/.e land will bo taken up as fast as it is made accessible there can be no manner of doubt, but the flat, moist, alluvial soil is absolutely prohibitory of locomotion without the roads, and as saw-mills are brought into that part of the country, the timber on the road lines may bo made to bear a largo proportion, if nob the wllole, COSt Of tllCir formation. I cannot speak too strongly on tho subject of tramways ns the pioneer roads of such a country as this. Whether cheapness of construction, ease of carriage, or rapidity of execution be taken into consideration, in all llu 39 respects the comparison is infinitely in favor! of the wooden way. Tho Ngawhakarau road now formed more than four years, and doomed still to remain a slough of despond till the tramway enables it to be metalled, is an instance in point, and I have no hesitation in affirming that had the tramway preceded tho formation of the other road, tho settlers in that district would have numbered by thousands where now there are only hundreds. The location of the Scandinavian immigrants at Palmerston has been most successful. They are hardy and industrious and render themselves acceptable to all the real settlers of the district, who are urgent for the introduction of still more of the same class of people. And with the prospect of work which saw mills will afford, and of the operations of the General Government in the formation of roads and' railways it would bo necessary and highly expedient to bring out numerous immigrants from Great Britain or from Europe. The moral effect of tho progress of these public works upon the native mind, and upon the Europeans in their estimate of danger from an outbreak, cannot bo exaggerated ; all idea of the possibility of insurrection appears to have vanished, and the natives themselves are large contractors, working willingly and well. An important work of exploration ia being performed by Mr Booth, R.M., in tho Wnn- [ ganui-Wangahu country. He is seeking to ascertain the best and most direct route from j the settled country to the open country surrounding Ruapehu. Ho has been apparently successful in finding a good line, and more than j 0110 passable track, and if, as is in[contemplation I believe, access should be givon to that country, a very largo and fine field for immigration would be opened. The country of tho intc- [ rior is generally spoken of as poor. This is a I great mistake as far as that part of it lying to the Southward of tho mountain is concerned. Tho open country is nearly all good, and largo and frequent clearing!? occur both on the Turakina and Wangahu rivers. The survey of the main railway liuo through the Province is progressing favorably, and there is every reason to suppose thnt the plans, with all necessary information, will be ready for the Assembly on its next meeting. The Council having been declared opened, tbe speech, on the motion of Tho PROVINCIAL SECRETARY, was ordered to be printed, r EXIT/ION. Mr BORLASE presented a petition from F. H. Irwino, for compensation far land wrongly

'i described, and for a return of the doposit paici s on it. Received and ordered to bo printed. NOTICE OP MOTION. 0 Several notices of motion were tabled. 1 HTFTT BIIIDGE. , Report nnd plans in connection with the a erection of tho proposed Hutt; Bridge, pro--3 pared by Mr Blackett, were laid upon the • table. ) MESSAGE KO. 1. A message was received from his Honor, • respecting a recommendation being mado to his Excellency to grant to tho Patent Slip . Company (limited) sundry necessary grants [ of and titles to water frontage. Ordered to be <> printed. The Council then adjourned (ill to-morrow (Wednesday), at 7 p.m.

£ b.&. £ s. d. 1 Executive ... 2895 0 0 2012 0 0 2 Legislative ... 1485 0 0 G95 0 0 3 Judicial & Police 7552 4 6 7382 15 6 4Charitablo ... 40b7 0 0 3997 5 0 5 Education ... 2500 0 0 3577 0 0 6 Harbora ... 2617 0 0 2772 0 0 7 Special 2108 5 0 1669 10 0 8 Miscellaneous ... 10-16 0 0 1872 5 0 9 Public Works and Undertakings — Land Departments 1560 0 0 1210 00 j Survey 6180 5 0 10,000 0 0 Engineers ... 2123 15 0 700 0 0 Sundry Undertakings 3614 10 0 5410 0 0 Koadß, £17,755 ; lessGrantsiti Aid to Dist. Boards, £11,000 ... 6755 0 0 9700 0 0 Bridges* 5000 0 0 12,560 0 0 Contingencies ... 3000 0 0 1000 0 0 10 Amounts provided for by Special ActsJ • ...23,151 0 0 1000 0 0

Balance in bank £2,85G 10 3 Licenscß,publican3& auctioneers 3,800 0 0 Pilotage 1,500 0 0 Sheep assessment 1,350 0 0 Incidental receipts .. ... 1,700 0 0 Toll-bars 3,000 0 0 Queen's warehouse wharf ... 2,400 0 0 Reclaimed land 3,000 0 0 Land revenue 13,000 0 0 Mortgagee 1,G50 0 0