LEGISLATIVE COUNCIL.

Wellington Independent, Volume XXVIII, Issue 3901, 4 September 1873, Page 3

LEGISLATIVE COUNCIL.

Wednesday, 3kd September. The Hon the Speaker took vho cbair at two o'clock. NATIVE RESEBVES. The Hon Captain FBASEE moved for a return of all native reserres sold within the province of Hawke's Bay j the- return to show the dales of the sales, the names of the purchasers, and the amount for which such reserves were sold. The return also to show the acreage' of tbe reserves. He bad been informed during the last two months, by a gentleman, that some of the reserves in Hj,wke's Bay had been permanently alienated. He had looked in vain through reports for information. The Hon Dr POLLEN had no objection to furnish the returns, but thought it would have been more convenient if the hon gentleman had asked information abeut any particular reserve The Hon Mr SEWELL said that a considerable amount of money was being spent on the subject of native reserves, but the legislature oould get no information on the matter, i Motion agreed to. ADJOURNED DEBATE. On the Hon Mr Sewell's motion, that in the opinion of this Counoil the financial position of the colony demands the grave consi- j deration of the legislature. The Hon Colonel KENNY would move an amendment to the motion. The Hon Mr Sewell and the Hon Mr Waterhouse had uttered notes of warning with regard to the financial position. B?e was glad to see that those gentlemen had come to their right senses. It was tbe Hon Mi* Sewell who had introduced the Public Works Act, 1870, into the Council, and the Hon Mr Waterhouse bad introduced an extension of that policy — the Railways Bill of 1872. The Hon Mr WATERHOUSE said the bill he introduced <vas not an extension of the policy, but simply to carry out the werks already decided upon. There was nob a single mile of new railway provided for in that hill. The Hon Colonel KENNY quoted a motion of the Hon Mr Sewell last year to the effect that it was not desirable to pay the interest on loans out of loans. But this had not been adhered to, and isterest had been paid out of borrowed money. He could see no object in passing such a motion, except they were prepared to take action to enforce it. Bills had been brought down time after timo increasing the indebtedness of the colony, and the Council bud passed them. This could not be attributed to excitement, for there had been plenty of time for consideration since the policy was introduced in 1870. The present motion was an abstract one, which everyone- agreed in, but could have no result, except it applied to the legislation of the future. The House of Representatives had the sole right of appropriating public moneys. They were oroating loan?, and it was their duty to tax the people for those loans. He had no desire to see tbe Council interfere with the rights and privileges of the other House ; but it was the duty of the other House, as they possessed those rights, to take the responsibility of taxation. He would move the following amendment to the motion, which, without it, would be a mere dead letter : — That the present financial position of tbe colony demands the -decided action of the Council in declining to sanction any further increase in the indebtedness of the colony, except for auoh works as the Government had already entered into engagements for. The Son Mr STOKES, as a supporter of the policy, felt bound to say a few words why he was also a supporter of the resolution. The Hon Colonel Kenny had constituted himself tfceCafco and censor of the Council. He was not alarmed at the past debts of the colony ; it was the shadow of coming events that frightened him. Still he thought the colony could not stop now in its policy of progress, but it should not bo forced on so rapidly. In 1870 the colony was in a state of stagnation ; and he attributed the present life and prosperity to the pubho works scheme. In euoh a policy — that of opening, up the country — they should look t6 the indirect advantages. He inatanced the vast increase in the land receipts of the provinces of Wellington and Canterbury. In Wellington the land revenue was £6000 in 1870, while in 1972 it was £33,000. Canterbury's land revenue had increased from £64,000" to £236,000. He thought they should not grant too much facility to the present rage for borrowing. . The policy sheuld be carried out cautiously, so as not to interfere with the labor market of the colony. The Hon Mr HOLMES said he found by the Financial Statement that tbe indebtedness of the colony amounted to about £16,600,000. One of the worst features in the Statement was that in connection with provincial borrowing. He had always set his face against this. He thought tho colony should be the borrower if money was required for provinces, as loans were often raised by the latter at ruinous rates of interest — as much as ten per cent being given, while the colony could have borrowed at five or six. Another feature was the power to raise money for provincial railways on the lands of tbe provinces. He was of opinion that such a provision was unnecessary, as the provinces of the North Island had very little landed estate to dispose of. He could confidently etate that valu« bad not been given for tfee money already expended on public worke. It wbb more the question of the administration of the policy than the policy iUelf which should be looked into. Through bad management he had little hesitation in Baying that the colony had already lost a quarter of a million. He pointed to a railway in Otago. which had cost £25,000 a mile, und he had no doubt but that it oould have been constructed for a mile. A better class of men were required to carry out the public works policy. On the motion of the Hon Mr Campbeli,, the debate was adjourned until the following day. THE .PBOVTNCB OF WESTLAHD BUI. was read a third time, and ordered to be com- ' mitted on Friday next. The Council adjourned till the next sitting day at 2 p.m.