REPORT OF THE SELECT COMMITTEE ON THE WELLINGTON WATERWORKS BILL; TOGETHER WITH MINUTES OF EVIDENCE AND APPENDIX.

Appendix to the Journals of the House of Representatives, 1871 Session I, H-03

REPORT OF THE SELECT COMMITTEE ON THE WELLINGTON WATERWORKS BILL; TOGETHER WITH MINUTES OF EVIDENCE AND APPENDIX.

REPORT BROUGHT UP 19th SEPTEMBER, 1871, AND ORDERED TO BE PRINTED.

WELLINGTON.

1871

H.—No. 3.

Extracts from the Journals of the House of Representatives. Wednesday, the 23bd day op Aucjfst, 1871. Ordered, That the Wellington Waterworks Bill be referred to a Select Committee, to consist of Mr. Bradshaw, Mr. Bunny, Mr. Collins, the Hon. Mr. Fitzherbert, Mr. Hunter, Mr. O'Neill, and the Mover; three to be a quorum. Report to be brought up on or before this day week. A true extract. (On motion of Mr. Pearce.) F. E. CAMrBELL. Clerk to House of Representatives. Tuesday, the sth day of September, 1871. Ordered, That the Select Committee, to whom was referred the Wellington Waterworks Bill, have leave to postpone the bringing up their Report for fourteen days. A true extract. (On motion of Mr. Pearce.) F. E. Campbell, Clerk to House of Representatives.

ORDERS OF REFERENCE.

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The Committee to whom was referred a Bill intituled " An Act to make provision for the construction and maintenance of Waterworks for supplying the City of Wellington with Water and for defraying the Cost thereof," have the honor to report that they have examined the Bill, and do recommend that it may be passed, with the alterations and additions as shown in the copy of the Bill annexed to this Eeport. The Committee do further recommend that the following be added to subsection 5 of clause 4 : — " But no dam for the purposes of the undertaking or the Waterworks shall be erected for the period of two years from the passing of this Act, upon the land in the Schedule to this Act so as in any manner to interfere with or prejudicially affect the drives or tunnels now made in connection with any goldmining leases within the district aforesaid, except with the previous consent of the persons for the time being interested in such drives or tunnels." Edwaed Peaece, 19th September, 1871. Chairman.

MINUTES OF PROCEEDINGS. Tuesday, 29th Atjgtjst, 1871. The Committee met pursuant to order. Pbesent : Mr. Bradshaw, Mr. O'Neill, Mr. Bunny, Mr. Pearce. Hon. Mr. Fitzherbert, On motion of Mr. Fitzherbert, Mr. Pearce was elected Chairman. On motion of Mr. O'Neill, it was agreed that Counsel should be heard on both sides. Mr. Travers appeared on behalf of the Mayor aud Town Council of Wellington. Mr. Dransfield, Mayor, was examined. By Mr. TraversZ] Have you any knowledge of the water supply to Wellington ?—Yes. Is it effective or not ? —Very defective. To your knowledge, is water supply wanted by generality of townspeople ?—Tes. Are you aware whether the proposed supply has been frequently discussed at City Council ?— Tes; there is, to best of my belief, only one objector to it in the City Council. Have plans and estimates been prepared by the City Engineer, of the proposed works ?—Tes. Have any petitions or proceedings against these works been sent in to the City Council ? —No. In your opinion, as Mayor, can the Corporation effectually and economically carry out these works ?—I believe they can. By Mr. O'JYeill.] Was there any other scheme to bring water into town?— There was a private proposal, but none by the town authorities. Mr. Dransfield then withdrew. Mr. Nicholas Marchant was examined. By Mr. TraversZ] Tou are Civil Engineer to the City Council ? —Tes. Are you acquainted with the character of the present water supply to the City of Wellington ?— Tes. Can you state whether it is a satisfactory supply or not ?—lt is a very unsatisfactory supply. What are the general sources of supply ? —The water is collected from house-tops into barrels and iron tanks, and also from shallow wells. Is the supply now obtained pure ?—No. Have you had an analysis of present supply ?—Tes, by Dr. Hector. This is embodied in my report to the City Council, which I produce. Is it your opinion that a new supply is urgently required ?—Tes. Have you made plans and estimates of proposed works ? —Tes, preliminary ones. Mr. Marchant then withdrew, after laying on the table Eeport and Proceedings of City Council on a Water Supply to the City. On motion of Mr. Bunny, the Committee then adjourned till half-past 11 to-morrow.

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Wednesday, 30th At/gust, 1871. The Committee met pursuant to adjournment. Present: Mr. Bradshaw, Hon. Mr. Fitzherbert, Mr. Bunny, Mr. O'Neill. Mr. Collins, Mr. Pearce, Chairman. Mr. Allan appeared as Counsel for Mr. Schultze. Mr. Charles William Schultze was examined. Are you owner of land at Kai Warra stream ?—Tes, I have 25J acres of land with the mill. How long have you been in possession of this land ? —I had it on leasehold in 1845, and have since purchased it. Have you erected a mill on the land ?—Tes, and commenced working it in 1845. Was there a reservoir on your ground ?—I made a dam when I built the mill. Have you been working the mill regularly since 1845 ? —Till within the last two years regularly on my own account, and since then occasionally for grist work, as required. Is tho mill now in good working order?—lt can be set to work at a moment's notice. Have you more water thau is required for use of mill in the twenty-four hours ?—I produce Mr. Igglesden's report, which says there is sufficient in winter to work the mill; but I use a greater quantity of water then. Working three pair of stones, there is some though not much to spare. In winter time I worked sixteen and twenty-four hours a day. During spring and autumn months I could only get on an average twelve hours with two pair of stones. In summer months I could only get eight hours with two pair of stones ; and for months together no water has jjassed over escape that has not been used in the mill. The abstraction of any water from the stream would render the mill utterly useless. If a million gallons or upwards were daily taken, would that obstruct the working of the mill ?— Any water taken from the stream would interfere with the working of the mill, as during autumn, spring, and summer, I never had more than sufficient water to work the mill. Would it affect your mill if the water were taken in winter ?—Tes ; if taken daily it would certainly affect the working of the mill. What do you consider your annual loss would be if unable to work mill ?—The loss would be between £1,600 and £1,700 per annum. This is simply the grinding profit of the mill. At what do you value mill property and good-will of business ?■ —I consider £10,000 would be the value of the loss entailed on me. Was notice ever given to you of proposed works ? —I have never received personal notice, but I have seen a notice in the papers addressed to the different landowners. The plans of City Council did not show any interference with my property. By Mr. TraversZ] Is not the reservoir of your mill supplied by river of Kai Warra ?—Tes. Are there not several branches to that river ?—Tes, two ; the Eata and Porirua. Is not the Eata branch the main feeder of the river ? —lt depends on weather. Is not the Eata branch before junction much longer and larger than the stream from which supply is proposed to be taken ? —About the same size ; if anything, the Porirua branch is the larger. Have you ascertained by measurement what quantity of water comes down such stream ? —No. What water do you require to work mill for twelve hours ? —262,000 gallons per hour. Tou have had an average of that quantity ? —Tes. By Mr. Collins.'] Did I understand you to say that you had made a thousand a year from mill ? —Tes. Have you made money for last two years ? —No; I have made nothing last two years. To what do you attribute that want of profit ? —I retired from business, and could not get any one to work it. Could you make tho same out of it now ? —Tes, if I had the same energy. Have you had any offer to lease ? —No eligible one. Mr. Marchant was called. By Mr. TraversZ] Tou have heard Mr. Schultze state that he has an average supply of 262,000 gallon per hour ? —Tes. Mr. Schultze hero explained, that that is quantity required, but he had not always received it. What proportion of water used by Mr. Schultze will be abstracted by proposed works ?—Equal to about one-half horse-power, with 14 feet fall, working continually. Tou have made measurements of water ? —Tes ; and have ascertained by long series of observations that total quantity of water at foot of dam of proposed work does not exceed 310,000 gallons per diem. On this basis you find there will be one-sixteenth part of the water abstracted from mill ? —Tes. By Mr. Allen.] How do you account for present large supply to Mr. Schultze's mill ?—ln first place, the river runs 3} miles from foot of proposed dam to mill; secondly, it is fed by Porirua stream, which, on Mr. Schultze's showing, is more than half the supply, and the point from which I propose to take water is of confined area, whereas the watershed feeding river below the dam is miles in extent, and bush land. Do you propose to take all water of stream for waterworks ? —Tes, all the normal flow. Question put and agreed to, That further evidence be procured. Question put and agreed to, That the Chairman ask the House for further time to report. The Committee then adjourned till Priday morning at 11 o'clock.

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Friday, Ist September, 1871. The Committee met pursuant to adjournment. Present: Mr. Bradshaw, Hon. Mr. Fitzherbert. Mr. Bunny, Mr. O'Neill. Mr. Pearce, Chairman. The Chairman informed the Committee that the House had been pleased to grant further time to report. Mr. Allen, on behalf of Mr. Schultze, addressed the Committee in support of introducing a clause in the Bill requiring the Corporation to purchase Mr. Schultze's land and mill on the Kai Warra Stream. Mr. Travers replied. On the motion of Mr. Bunny, the Committee adjourned till half-past 3 on Monday next; notices to members to state that it will probably be a final meeting. Monday, 4th September, 1871. The Committee met pursuant to adjournment. Present : Mr. Bradshaw, Mr. O'Neill. Mr. Bunny, Mr. Pearce, Chairman. Mr. Fitchett appeared on behalf of certain gold-mining companies, and produced sample of gold taken from Baker's Hill claim, stating that 19 dwt. of gold had been obtained from 24 cwt. of stone. Other trials made have not yielded so much. By Mr. Bunny.] Are you aware that a compensation clause is provided in the Bill if injury is done to those interested?—Tes, but we don't want compensation. "We want to continue the works. If the Company draw water from the proposed site, will that injure your claim? —Tes, it will put it twenty feet under water. How do you know this ? —Mr. Marchant told me so. Mr. Fitchett here stated that the proposed dam of Waterworks should be placed on the Porirua branch of the Kai Warra Stream ; and that Mr. O'Neill had surveyed the ground for Mr. Schultze. By Mr. Pearce.] Do you consider this site as good as one proposed by the City Engineer?—lt is so long ago since I surveyed the site in question that I can't say. By Mr. O'Neill.] Mr. Pitchett stated that the Baker's Hill drive is in 430 feet, and the proposed dam would put it twenty feet under water, and that in this drive they have passed through a band 18 feet thick of gold-bearing stuff, yielding, when tested, 7 dwt. to the ton. By Mr. Pearce.] If your prospects are no better in six months' time than they are now, would you still continue working ?—Tes. Mr. Gill here stated that the Morning Star Company are now putting up a turbine wheel, and that the Company will require all the water in stream to work it. Mr. Pitchett stated that the Baker's Hill Company have been at work for two years. A clause proposed to be inserted in the Bill to protect gold-mining interests was handed to tho Chairman. The deputation then withdrew. On the motion of Mr. Bunny, the Committee adjourned till 12 o'clock to-morrow. Tuesday, sth September, 1871. The Committee met pursuant to adjournment. Present: Mr. Bunny. Mr. Hunter. Mr. Collins. Mr. O'Neill. Hon. Mr. Pitzherbert. Mr. Pearce, Chairman. It was resolved that the Chairman be requested to ask Mr. O'Neill and Mr. Bradshaw personally to inspect the gold mines at Baker's Hill, and report to the Committee as to whether there is any prospect of payable gold being found at said claims. The Chairman was further directed to ascertain from Mr. Marchant whether there were any other sources 'from which water could be conveniently obtained other than that provided by the Bill, and if so at what extra cost, if any, and generally to state how a supply of water can be obtained for town without interfering with the miners' operations. The Committee then adjourned, the Chairman to convene a meeting when the above reports were ready. Friday, 15th September, 1871. Present : Mr. Bradshaw. Hon. Mr. Fitzherbert. Mr. Bunny. Mr. O'Neill. Mr. Pearce, Chairman. Mr. O'Neill stated that he had visited and inspected the different claims at Baker's Hill with Mr. J. C. Brown, and read a report thereon, which was afterwards to be handed in, signed by the Chairman, and attached to the proceedings. Mr. J. C. Brown corroborated Mr. O'Neill's report in every particular. Specimens and gold obtained by these gentlemen from Baker's Hill were handed to the Committee 2

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Dr. Hector appeared before the Committee and read a report on specimens from Baker's Hill and neighbourhood of Wellington, which had been examined and tested by him. This report was signed by the Chairman, and attached to the proceedings. The following question was put by the Hon. Mr. Fitzherbert to Br. Hector: Is it your opinion that, if the mines were scientifically worked, they would pay ? —There are good prospects, but nothing very definite yet. It does not follow, in my opinion, that the working of mines would be interfered with by the proposed Waterworks. The mines would, I believe, be more cheaply worked from Polhill's Gully ; and, in my opinion, driving a tunnel right through the hill, as proposed, would be in reality advantageous, in showing what really was to be found in Baker's Hill. Mr. Marchant appeared before the Committee, and stated that the water proposed to be taken is of no value as a motive power, and that, even in the event of a payable gold field being found, he could place the dam above the present drives, and allow quite sufficient water for gold washing purposes. Mr. Marchant further addressed the Committee, and tendered a report to be afterwards handed in and signed by the Chairman and attached to the proceedings. The parties then withdrew, and the Committee proceeded to consider the Bill. Question, That the preamble has been proved, put and agreed to. Clauses 1 to 23 agreed to. Clause 24 postponed, and referred to Corporation for modification, as being too stringent. Clause 25 agreed to. Clause 26 postponed. Clauses 27 to 66 agreed to. Proposed by Mr. Pitzherbert, That a clause be prepared to enable the Corporation to raise money in the form of debentures, if they think fit, instead of by mortgage alone. Question put and agreed to. The Committee then adjourned till 12*30 o'clock to-morrow. Saturday, 16th September, 1871. The Committee met pursuant to adjournment. Present: Mr. Bunny, | Mr. O'Neill. Mr. Pearce, Chairman. Question put and agreed to, That after the end of first line in clause 24, the following words be inserted " fraudulently and improperly." The Committee, after hearing Counsel for the Corporation, decided not to add the clause proposed at last meeting regarding power to raise money by debentures. Mr. Travers was directed to prepare a clause to be introduced in Committee of the House requiring the Corporation to place their dam on Kaiwarra Stream, above the present drives. This limitation of their power to be in force for two years. A clause proposed by Mr. Allan on behalf of Mr. Schultze to oblige the Corporation to purchase the freehold and goodwill of Mr. Schultze's business as a miller at Kaiwarra was negatived by the Committee. The Chairman was directed to report the Bill as amended.

APPENDIX. Memorandum by Mr. Charles O'Neill, 15th September, 1871. In terms of special request of Committee, I visited Baker's Hill on Tuesday the 12th instant, with the view of obtaining some information relative to gold mining in that locality. In the absence of Mr. Bradshaw, whom the Committee requested to accompany me, Mr. J. C. Brown went along with me, and together we carefully examined the workings. I now submit a report of our visit. Charles O'Neill. Eeport. Golden Crown Claim. The first working we visited was the Golden Crown Claim. At this claim we found a drive had been made about 80 feet long, in the hope of crossing a band of gold-bearing stone, which cropped out near the crest of the hill, or about 110 feet above the level of the drive. From this outcrop some stone was taken, and in our presence about three to four pounds weight of it, was placed in a mortar and pounded down, after which it was " panned off" when the result was a good prospect, which we now produce. We also produce some of the stone taken out. Baker's Hill Claim. We then visited Baker's Hill Claim ; the main drive at this claim is about 8 feet above the level of the creek and about 400 feet above the sea level, and about the same level as the Golden Crown drive. We inspected the drive, and found that it extended to about 440 feet in an easterly direction. At about 300 feet from the mouth a gold-bearing band, bearing nearly north and south, crosses the drive. This band is about 18 feet thick. Some of the stone was taken out and crushed, and after being panned off yielded a very fair prospect. The weight of the stone crushed was from three to four pounds. We now produce the prospect and some of the stone.

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The gold-bearing stone is a sandstone, with veins of carbonate of lime, stilbite, &c, and is very easily crushed. The works done by the Baker's Hill Claim proprietors have been four drives of the following lengths : —2OO feet, 90 feet, 100 feet, 440 feet; and the expenditure, as we were informed by the managers, has been about £700. Leaving Baker's Hill Claim, we passed a reserve of ten acres; then visited the Morning Star Claim. Here there was a drive of 250 feet in an easterly direction, and the intention of the proprietors is to continue the drive until they cut the gold-bearing band of Baker's Hill Claim. This company has now a turbine wheel and crushing machinery on the ground, and are preparing to erect a dam, &c.; they expect to have everything ready and in working order within two months. The expenditure has been about £600. Beyond the Morning Star, further up the creek, are the Union Claim and the Try Again Claim. In these claims, however, prospecting has been the only work done. A small two-stamper hand battery has been erected near the Morning Star Claim, with stampers of about 100 lbs. weight each ; and at this machine, we were informed 24 cwt. of stone from the Baker's Hill Claim had been crushed aud the yield was 19 dwts. The area of the various claims are as follows :— Golden Crown ... ... ... ... , ... ... 21 acres Baker's Hi 11... ... ... ... ... ... ... 20 „ Land Beserved .. ... ... ... ... ... 10 „ Morning Star ... ... ... ... ... ... 10 „ Union ... ... ... ... ... ... ... 10 „ Try Again 10 „ And the leases are for a period of twenty-one years. The Baker's Hill drive is close to where the proposed Beservoir for the Wellington water Supply will be situated, and if formed will doubtless flood by several feet the drive. The conclusions we have arrived at are as follows : — We believe that, with sufficient machinery, capable of crushing large quantities of stuff, and worked chiefly by water power, Baker's Hill should yield a very profitable return of gold. We have arrived at these conclusions from the practical tests performed in our presence ; but it must be borne in mind that the law of the distribution of precious metals is still unknown, and that gold may only be obtained in spots, pockets, or streaks, and, as is well known to all miners, gold is " tricky." Still from the practical proofs obtained in our presence, it has been clearly shown that gold exists, and in such quantities as to make it appear reasonable to expect a profitable yiel-1. J. C. Brown. Wellington, 15th September, 1871. C. O'Neill.

Dr. Hector to the Chairman, Wellington Waterworks Committee. What I consider thorough prospecting has been hitherto confined, in the neighbourhood of Wellington, to the Baker's Hill and Terawiti districts, in both of which a certain amount of alluvial gold was obtained, and led to a search for reefs. Gold has been found in varying quantities, the richest sample ever examined containing 3 oz. 5 dwt. per ton, being from the top of Baker's Hill. Sixty-eight analyses have been made (at the request of prospectors) in the Laboratory of specimens obtained from many parts of the hills surrounding the harbour. Out of these five yielded a weighable quantity of gold, and four more only traces. The specimens that yielded gold were as follows : — Wainui-omata—Slate with rnundic ... ... ... ... Traces. Terawiti —Brecciated sandstone ... ... ... ... Traces. Decomposed sandstone ... ... ... ... Traces. Cemented rubbly sandstone ... ... ... 4 dwts. 8 grs. Baker's Hill—Quartzose sandstone with white veins ... ... 3 oz. 5 dwts. Terawiti—Sandstone ... ... ... ... ... 1 dwt. 7 grs. Baker's Hill—Quartzose sandstone ... ... ... 2 oz. Quartzose sandstone ... ... .... 6 dwts. 12 grs. Terawiti—Quartzose sandstone ... ... ... ... 2 dwts. 7 grs. Baker's Hill —Quartzose sandstone ... ... ... Traces. Quartz reefs are common in the ranges, but not well defined, and gold has never been found in any of them. Gold has not been found in the body of any reef or veinstone. The rock is at both Terawiti and Baker's Hill the same, and is highly characteristic, so that it can easily be distinguished. It consists of broken fragments of quartzose sandstone traversed by veins of carbonate of lime, a white mineral called stilbite, and thin veins of quartz. The gold occurs as minute flakes on the sides of the thin veins of quartz, in the same form as what is known as dendritic manganese. When examined under the microscope it is generally in somewhat crystalline flakes; but in the alluvial gold in the same places there are two qualities found, one much purer than the other, which can easily be distinguished by the colour. The lighter coloured contains about 13 per cent, of silver, while the other is much purer. Masses of brecciated rock, of the same description as at Baker's Hill and Terawiti, occur in other parts of the ranges, generally in the line of strike with the strata, which in this district averages N. 30 E. Unless a defined reef or lode be struck which has been formed subsequently to the motion of the rocks that has given them the brecciated character, and in this respect similar to the thin veins that

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entwine the rock, there cannot be said to be any prospect of a payable mine, and I do not think that as yet the prospectors have succeeded in finding such a lode —the gold being only in the rubbly or brecciated sandstone. I quite concur in the description of the formation of Baker's Hill given in the report which I have just heard read. James Hector.

City Surveyor's Eeport to Select Committee, Wellington Waterworks Bill. City Surveyor's Office, Mr. Chairman and Gentlemen, — Wellington, 15th September, 1871. I have the honor to submit the following report on the several streams in the neighbourhood of Wellington, in accordance with instructions embodied in the following minutes of the proceedings of your Committee, in the matter of the Wellington Waterworks Bill: — " The Chairman was further requested to ascertain from Mr. Marchant, whether there are any other sources from which water could be conveniently obtained, other than that provided by the Bill, and if so, at what extra cost, if any, and generally to state how a supply of water can be obtained for town, without interfering with the present gold-mining operations. —D. H. Mcßarnett, Clerk of Committee." The streams in the immediate vicinity of Wellington are the Ohiro, Te Aro, Karori, tributary of the Karori (Native name unknown to me), Kaiwarawara and its tributary the Porirua (commonly so called). Of those streams, the next in order to the Kaiwarawara, for supplying Wellington with water wholly by gravitation, is its tributary the Porirua, if we consider only the daily discharge of the stream and altitude above sea level. In the important matter of quality, it has one disagreeable feature. This may be stated in few words. At the head of the Porirua branch, and some considerable distance down the stream, the country opens out, and being tolerably level, with fair description of soil, is already dotted with homesteads on either side of the stream ; this cannot be otherwise than detrimental to the wholesomeness of the water, and an annually increasing evil, considered as it should be, in connection with the small daily summer discharge, makes me hesitate before pronouncing it a suitable source for a permanent town supply. On the supposition, however, that this stream may be deemed a source from which water may be " conveniently obtained " for the town supply, I have prepared an estimate of the extra cost, and without, in this report, enumerating the details, will state it in round numbers at £8,000 sterling. In addition to the extra first cost on the works the annual charge for maintenance would be increased to the extent of upwards of three miles of leading main-pipe track. The Ohiro and the Te Aro require but little notice at my hands. The summer discharge of the latter, I know by actual observations made, is far too little for a town supply. The former has, in addition to tho disqualifications of the Te Aro and Porirua, no suitable impounding area on its course. The Karori, and also its tributary, are so far as I was enabled to judge during the rather hurried survey made for the purposes of this report, all that could be desired, either in respect to discharge or purity of their waters ; in the matter of levels only aro they unsatisfactory. The tributary itself ranging higher than the Karori, at the highest working level, is upwards of 150 feet below the head of the Kaiwarawara, from which it is divided by a lofty range; the Kaiwarawara again, in its turn, being shut off from the town by other high lands. Either of those streams, the Karori or its tributary, will, if required for town purposes, demand expensive engineering works —one essential being lifting or pumping machinery, to raise all the water delivered in town. Relative to those streams, I need only remark, that to utilize them is beyond the present resources of the Corporation. I will now direct my remarks, more especially in answer to the concluding portion of my instructions, namely, " And generally to state how a supply of water can be obtained for town, without interfering with the present gold-mining operations." In the event of " payable" gold being found at Baker's Hill, the mining operations would foul the Kaiwarawara throughout its course below the works, rendering it unsuitable as a source of supply. At present the finding of " payable" gold on this field is problematical. I will not say to what degree, as I have no desire to raise an argument detrimental to the interests of the prospectors. Possibly several years may elapse in developing the " field." For reasons I will adduce, I can perceive no difficulty in arriving at an amicable understanding between what may at first sight appear conflicting interests. I am of opinion that for several years a population of 5,000 will be the maximum number actually supplied with»water; at 30 gallons per head, this represents a demand of 150,000 gallons per diem. The normal flow of the Kaiwarawara is shown in my report to the City Council of March, 1871, to equal 310,000 gallons per diem. This would leave 100,000 gallons for mining purposes, after the town supply had been diverted. The value of the stream as power, I have already shown before your Committee, is very small. I will here repeat it: — 310,000 gallons per diem = 34*5 cubic feet per minute. Horse-power of 345 cubic feet per minute, with a head (or fall) of 14 feet = but 0910 or rather less than one horse-power nominal. The effective power with the very best constructed hydraulic machine would not exceed 70 per centum of the nominal horse-power. The stream's loss, as power, is one easily met by compensation. In order to meet the gold-mining interests, the following is a slight sketch of what could be done in such a case.

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No alteration would be necessary in the general scheme so far as affected the works from the distributing basin in the Polhill Gully. The distributing basin to be increased in capacity to one million gallons. To put in connection with the distributing basin suitable filter-beds; having to tap the stream almost daily, this would be highly necessary. To construct a small storage reservoir above the claims, or even an extensive one, as may be deemed advisable ; in such case it could be used partly as a compensation reservoir to the mining interests. The foregoing sketch of arrangements would only apply during prospecting for payable gold. If the field were abandoned, the works could then be fully executed as proposed iv my original report; and, on the other hand, should a payable gold field be discovered, the increased prosperity flowing from it would probably enable the Corporation, on behalf of the city, to go farther afield for water, and undertake works requisite to raise the waters of the Karori or its tributary. Tho waters, if conveyed from any tributary of the Karori would in no degree interfere with the works previously laid down, if such works were executed in conformity with my report of March, 1871, or with such modifications as I have sketched out in this report. I may also state, provided it became necessary to bring in the waters of the Karori or its tributary, the supply track may be led through the valley of the Kaiwarawara, and possibly become the means of a better development of the gold field. I have, &c, Nicholas Maechant, C.E., The Select Committee, "Waterworks Bill. City Surveyor.