OCEAN MAIL-SERVICES (FURTHER PAPERS RELATING TO). [In continuation of Paper F.-6, presented on the 8th August, 1899.]

Appendix to the Journals of the House of Representatives, 1899 Session I, F-06a

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1899. NEW ZEALAND.

OCEAN MAIL-SERVICES (FURTHER PAPERS RELATING TO). [In continuation of Paper F.-6, presented on the 8th August, 1899.]

Presented to both Houses of the General Assembly by Command of His Excellency.

INDEX. San Francisoo Mail-service— Page. Renewal of Service. Proposed Fortnightly Despatch. New Zealand Port of Call .. .. .. 1 Vancouver Mail-servioe— Alternation with Suez Route. Sydney-Brisbane Contract. Call at Fiji .. .. .. .«. 5 Interprovinoial Service .. .. .. .. .. .. .. .. .. .. 6

'i SAN FBANCISCO MAIL-SEKVICE.

RENEWAL OF SERVICE. PROPOSED FORTNIGHTLY DESPATCH. NEW ZEALAND PORT OF CALL. No. 1. The Agent-General to the Hon. the Premier. Westminster Chambers, 13, Victoria Street, London, S.W., Sir,— 18th May, 1899. Referring to your letter of the 29th March last [see No. 81, F.-6, 1899], I beg herewith to transmit copy of correspondence with the London General Post Office, respecting the proposal to establish a fortnightly mail-service by way of San Francisco. From the result of an interview with one of the Secretaries of the General Post Office, I am of opinion that the assistance which may be expected to be given by the Imperial postal authorities to a fortnightly service via San Francisco will not go beyond the Postal Union conditions and regulations. Moreover, I think it will be found that they will, if possible, avoid sending all the mails by that route, if it can be proved that by sending via Suez and Australia the mails would reach their destination in a shorter time. I enclose herewith copy of an advertisement [not printed] which appeared in the Times of the 17th instant, by which it will be seen that the liquidator of the Canadian-Australian Royal Mail Steamship Company gives notice that he proposes to offer for sale by tender the steamers, business, good-will, and property of the company. I have, &c, The Hon. the Premier, Wellington. W. P. Reeves.

Enclosure 1 in No. 1. The Agent-General to the Secretary, General Post Office, London. Sir,— 13, Victoria Street, London, S.W., 12th May, 1899. I am directed by the Agent-General to inform you that the withdrawal of the mailservice to New Zealand via, Vancouver renders it probable that a proposal for the establishment of a fortnightly service by way of San Francisco will be brought under the consideration of the New Zealand Parliament at its approaching session in June next. In view of such action, the AgentGeneral has been instructed by his Government to ascertain what support would be given by the Imperial Government to a fortnightly service by above-mentioned route. In my letter to you of the 23rd March last [not printed], I intimated that, in view of the acceleration of the railway service between San Francisco and New York, the mails from New

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Zealand would leave Auckland two days later ; and, in reference thereto, it is satisfactory to note that the time taken in the transmission of the mails to London has thus been considerably reduced. A similar acceleration has also taken place as regards the outward mails to New Zealand. As at present arranged, all letters posted in London prior to the despatch of the present four-weekly mail via San Francisco are forwarded by that route, and it is therefore assumed that a similar arrangement would be carried into effect in case a fortnightly mail is established, so that all letters, &c, for New Zealand, unless specially superscribed to go by another route, would be forwarded via San Francisco. The Agent-General has been desired by his Government, in view of the near approach of the session of the New Zealand Parliament, to request the favour of an early reply as regards the amount of support which the Imperial Government would be prepared to give in aid of a fortnightly service. I am, &c, The Secretary, General Post Office, E.C. Walter Kennaway.

Enclosure 2 in No. 1. The Secretary, General Post Office, London, to the Agent-General. Sir,— General Post Office, London, 17th May, 1899. I am directed by the Postmaster-General to acknowledge the receipt of your letter of the 12th instant, stating that a proposal for the establishment of a fortnightly mail-service between New Zealand and the United Kingdom via San Francisco is likely to be brought under the consideration of the colonial Parliament during its approaching session, and inquiring what support would be given by the Imperial Government to such a fortnightly service. In reply, I am to inform you that the Postmaster-General does not think Her Majesty's Government, having provided a regular weekly service to Australasia via Suez, has any reason to be anxious for a duplication of the mail-service between the colony and the Mother-country vid San Francisco. He cannot, therefore, hold out any hope of direct support for such duplication from Imperial funds ; but if, in the interests of the colony, a fortnightly instead of a monthly service were established by that route, it might be considered to what extent the proposed additional service could be used advantageously for mails at present sent vid Suez. In, considering any diversion of the mails, the Postmaster-General would necessarily desire to examine the advantages which the western route might offer as compared with the eastern route; and, in order that he may be in a position to arrive at a conclusion on this point, I am to request that you will be good enough to supply him with detailed information, showing week by week the expected working of the service between this country and New Zealand by the San Francisco route as compared with that of Suez. Any returns which you can supply relative to the past would also be useful. I am, &c, The Agent-General for New Zealand, London. H. Buxton Forman.

Enclosure 3 in No. 1. The Agent-General to the Secretary, General Post Office, London. Sir,— 13, Victoria Street, London, S.W., 18th May, 1899. I am directed by the Agent-General to acknowledge the receipt of your letter of the 17th instant, and to state, in reference to the request of the Postmaster-General to be supplied with detailed information as regards the expected working of the service between this country and New Zealand by the San Francisco route, as compared with that of Suez, that, as soon as steps are taken by his Government with the view of establishing a fortnightly service by that route, he will take care to furnish the Postmaster-General with full information as regards both the past and future working of the service. I am, &c, The Secretary, General Post Office, London. Walter Kennaway.

No. 2. Open Letter to the Hon. the Postmaster - General from the President, Chamber of Commerce, Auckland. Chamber of Commerce, Auckland, 19th May, 1899. In view of the proposal to make Wellington a port of call for the steamers of the San Francisco mail-service, in place of Auckland, the following short statement has been prepared in order to show, judging from facts within our knowledge, how this colony as a whole and the Colony of New South Wales would be affected were the proposed change to be carried into effect. Mails. —As Auckland, at the rate of speed of the steamers now running, is nearer to Samoa than Wellington by some twenty hours' steaming, the result of the change, in so far as the mails are concerned, would be to cause them to be delivered in Sydney in seventeen hours, or thereabouts, later than at present; in Auckland forty-eight hours later—viz., twenty hours for the longer run to Wellington and twenty-eight hours from the transit thence to Auckland, that being the average time taken ; in Taranaki twenty hours later on account of the longer ocean passage, delivery in that district being accomplished in about the same time, whether from Wellington or Auckland; and Hawke's Bay District would get delivery, say, four hours later. On the other hand, Wellington and the South Island would have the mail delivered eight hours earlier than at present, that being the difference between the average time, taken to convey the mail from Auckland—twenty-eight hours —and the longer run from Samoa—twenty hours. This gain is comparatively so small when contrasted with the serious loss the North would suffer by the

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change that—even after full allowance is made for the larger population which would profit by it —the question as to gain or loss, as affecting the colony as a whole, will be found, when put into figures, to bring out an answer greatly -in favour of Auckland as the port of call, in the proportion, indeed, of quite two to one. The figures on which this calculation is based are these: Auckland Province —population 159,216, loss 48 hours; Taranaki—population 32,271, loss 20 hours ; Hawke's Bay—population 35,561, loss 4 hours; as against a gain of 8 hours to a population in the South of 501,958, according to last census. It is true that the mail is not exactly distributed in the ratio of the population, but any difference in that respect could not greatly alter the result as now stated. Cargo. —Auckland, including Gisborne and Napier shipments, receives three-fifths of the inward cargo, and contributes more than two-thirds of what goes outward. The figures in tons are as follows, for the period from the 19th March, 1898, to the 17th April, 1899 :— , Auckland. Gisborne and Napier. Wellington. South. Total. Inwards ... 2,405 tons 238 tons 658 tons 1,138 tons 4,439 tons Outwards ... 1,339 „ ... 275 „ 260 „ 1,874 „ With Wellington as the port of call, the Auckland portion of the inward cargo (2,405 tons), more than half of the whole landed, would reach consignees at least eighty hours later than at present — i.e., twenty hours on ocean passage to Wellington, and sixty hours thence, coastwise, to Auckland, via East Coast. On the other hand, Wellington and southern ports would gain forty hours, as, against the loss of twenty hours on the longer passage from Samoa, they would profit by the sixty hours now taken in the coastwise passage from Auckland—say, forty hours on 1,796 tons. In respect to outward cargo, the position is somewhat different, provided we leave out of view the longer steaming-time from Wellington to Samoa. In that case, Auckland may be considered to lose only the time coastwise—say, sixty hours on 1,339 tons; while Wellington and the southern ports would gain as on inward cargo forty hours, say, on 535 tons.* Still, dealing with the matter of New Zealand cargo only, and taking the inward and outward either separately or conjointly, when quantity and time are taken into account, the sum figures, as with the mails, again two to one in favour of the present port of call. After all, the New Zealand cargo forms but a relatively small portion of the freight carried. The tonnage to and from New South Wales much exceeds that of the New Zealand shipments. Inward cargo to Sydney is, indeed, six times as great as the tonnage for the whole of New Zealand—say, 1,200 tons to 200 tons. Outward cargo is much in the same proportion as that in our colony, except in the wool season, when Australian shipments are much larger, as many as 2,000 bales going at times in one steamer. Passengers. —In respect also of passengers, Sydney has a much larger interest than New Zealand, the number going to and from that port being nearly twice as great as that of New Zealand passengers. The numbers for the period from 19th March, 1898, to 17th April, 1899, were : — New Zealand. Sydney. Inward ... ... ... ... ... ... 278 549 Outward ... ... ... ... ... ... 396 755 Sydney. —To put matters shortly: If Wellington were to be made the port of call, Sydney would have its mails delayed seventeen hours or thereabouts; delivery of its important inward cargo—six times as large as that of all New Zealand put together—would simply be delayed, and passengers would have their voyage prolonged,—and all this unnecessarily. New Zealand. —As regards New Zealand, Wellington and the South Island would have their mails delivered eight hours earlier, and cargo forty hours earlier than at present. But the loss caused to the North would be so much greater, as already shown, as to much more than counterbalance this gain. To recapitulate, the loss of time to Auckland Province in mail-delivery would be six times greater than the southern gain, and, taking into account the difference in population, would be still twice as great relatively. Auckland cargo (3,744 tons) would lose en route to or from Wellington, in effect, eighty hours, as against the gain to the South of forty hours on 2,569 tons. In short, Auckland, by its position, is the natural port of arrival and departure for traffic coming from the north, and it would require a very strong case indeed to warrant the diverting of the San Francisco mail-service from it to a port further south. We venture to say that the figures herein stated make out a valid claim, on the contrary, for the continuation of that service vid Auckland. It is, of course, regrettable that any part of the colony should be at any disadvantage, even if not considerable, through Auckland being the port of call, and in so far as regards delivery of the mail it is to be hoped that it may be possible to expedite it. Indeed, were it not for the isolation of the Auckland Province, in so far as railway communication with the South is concerned, there would not now have been cause of complaint on this score. In conclusion, it may also be noted that the extra run of thirty-four hours per voyage would add a considerable item to the cost of the steamer service—a cost of which, presumably, the colony would have to bear its share, on account of the contractors asking an increased subsidy. John Burns, President. H. Goulstone, Secretary. * P.S.—This month (May) outward shipments from the South, chiefly flax, are in excess of those from Auckland.

No.* 3. The Hon. Secretary, Chamber of Commerce, Gisborne, to the Postmaster-General, Wellington. Sir, — Gisborne Chamber of Commerce, Gisborne, 12th June, 1899. I am instructed by the above Chamber to forward you resolution passed at a meeting held on the 9th instant, in reference to the port of call for the San Francisco mail-service. . , ,

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"That the Government be written to, urging that Auckland be allowed to remain the port of call and departure for the San Francisco mail-service, as the Chamber considers it is more suitable than Wellington." . . . I have, &c, R. H. B. Robinson, Honorary Secretary. The Hon. the Postmaster-General, Wellington.

No. 4. The Secretary, General Post Office, Wellington, to the Hon. Secretary, Chamber of Commerce, Gisborne. General Post Office, Wellington, 16th June, 1899. Sir, — San Francisco Mail-service : Port of Gall. ' I have the honour, by direction, to acknowledge the receipt of your letter of the 12th instant, on the above-noted subject, which will receive consideration. I have, &c, W. Gray, Secretary. The Hon. Secretary, Gisborne Chamber of Commerce, Gisborne.

No. 5. The Deputy Postmaster-General, Sydney, to the Secretary, General Post Office, Wellington. Post and Electric Telegraph Department, General Post Office, Sir,— Sydney, 16th June, 1899. I am directed by the Postmaster-General to forward herewith a copy of a letter which has been addressed to him by the Sydney Chamber of Commerce, regarding a proposal in connection with the San Francisco mail-service to make Wellington the port of call instead of Auckland. I have, &c, S. H. Lambton, Deputy Postmaster-General. The Secretary, General Post Office, Wellington.

Enclosure in No. 5. The Secretary, Chamber of Commerce, Sydney, to the Hon. the Postmaster-General, Sydney. Sir, — Sydney Chamber of Commerce, Sydney, N.S.W., 9th June, 1899. I have the honour, by direction of the committee of this Chamber, to call your attention to the proposal in connection with the San Francisco mail-service, to make Wellington, New Zealand, the port of call instead of Auckland, New Zealand, and to hand you herewith copy of a statement made by the Auckland Chamber on the subject. The committee of the Sydney Chamber recognises that the making of Wellington the port of call instead of Auckland will of necessity retard the delivery of mails by the San Francisco route, and desire to respectfully protest against any alteration which will have this effect. Apart from the question of the mails, the delay and possible inconvenience to Australian passengers must not be lost sight of, and, as these are fully twice the number of the distinctly New Zealand passengers, their claims to consideration should have special attention. The report alluded to in the first paragraph shows that the Australian cargo inward, carried by the San Francisco mail-steamers, is six times greater than that for New Zealand, and, as you doubtless are aware, delay in receipt of cargo is a disadvantage to consignees. The committee consider the proposal a retrograde movement, and respectfuly desire you to thoroughly investigate it, and not allow of the proposed change, for, so far as the public are concerned, the committee are unaware that this colony, which contributes to the subsidy, has been consulted in the matter. I have, &c, Henry Chas. Mitchell, Secretary. The Hon. the Postmaster-General, Sydney.

No. 6. The Hon. the Postmaster-General, Wellington, to the President, Chamber of Commerce, Auckland. Sib,— General Post Office, Wellington, 19th June, 1899. I have the honour to acknowledge the receipt of your letter of the 19th ultimo, and to say in reply that it has never been the intention of Government to substitute Wellington for Auckland as the port of call for the San Francisco mail-steamers. I have read your letter with much interest, and am pleased indeed to learn of the increasing commercial prosperity of Auckland and the North. I have, &c, W. C. Walker, The President, Chamber of Commerce, Auckland. For Postmaster-General.

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No. 7. The Hon. the Premier to the Agent-General. si: Sir, — Premier's Office, Wellington, 3rd July, 1899. : ; I have the honour to acknowledge the receipt of your letter of the 18th May last, transmitting copy of correspondence with the Imperial Post Office respecting the proposal to establish a fortnightly mail-service vid San Francisco ; also a copy of an advertisement of the proposed sale of steamers, business, good-will, and property of the Canadian-Australian Royal Mail Steamship Company (Limited). , I note that you are of opinion that the assistance which may be expected to be given by the Imperial postal authorities to a fortnightly San Francisco service will not go beyond the Postal Union conditions and regulations. I have, &c, R. J. Seddon, Premier. . The Hon. W. P. Reeves, Agent-General for New Zealand, London.

No. 8. < ■'■■ ■ The Secretary, General Post Office, Wellington, to the Deputy Postmaster-General, Sydney. Sir,— General Post Office, Wellington, 3rd July, 1899. I have the honour to acknowledge the receipt of your letter of the 16th ultimo, forwarding copy of a letter addressed to the Postmaster-General of your colony by the Sydney Chamber of Commerce, regarding a proposal in connection with the San Francisco mail-service to make Wellington the port of call in New Zealand, instead of Auckland. I have, &c, The Deputy Postmaster-General, Sydney. W. Gray, Secretary.

VANCOUVEE MAIL-SEEVICE. ALTERNATION WITH SUEZ ROUTE. SYDNEY-BRISBANE CONTRACTS. CALL AT FIJI. No. 9. The Secretary, General Post Office, London, to the Hon. the Postmaster-General, Wellington. Sir,— General Post Office, London, 24th May, 1899. ,' With reference to your letter of the 23rd November last [see No. 242, F.-6, 1899], with which you were so good as to forward a table showing the number of days occupied in the transmission to Melbourne, Bluff, Christchurch, Wellington, and Auckland of mails despatched from this office and conveyed from Brindisi by the steamers of the Peninsular and Oriental Steam Navigation Company from the beginning of the year 1898 up to the end of September in that year, I am directed to state that the Postmaster-General would be much obliged if he could now be furnished with a similar table relative to the mails despatched from London after the 30th September ; and I am to add that a table of this kind would be of considerable use in this office if it could be sent at regular intervals —say, once a month. The value of the table would be enhanced if the actual hour at which mails are landed at the port of arrival in New Zealand could be stated. I am, &c, The Postmaster-General, Wellington. H. Buxton Forman.

No. 10. M The Deputy Postmaster-General, Sydney, to the Secretary, General Post Office, Wellington. Postal and Electric Telegraph Department, General Post Office, Sir— Sydney, 12th June, 1899. I am directed to enclose herewith a copy of the form of contract [not printed] which has been entered into by this department with Messrs. Burns, Philp, and Co. (Limited), of this city, for the conveyance of mails between Sydney and Vancouver—to take effect as from the 23rd ultimo. I have, &c, J. Dalgarnq, The Secretary, General Post Office, Wellington. For Deputy Postmaster-General.

No. 11. The Secretary, General Post Office, Wellington, to the Deputy Postmaster-General, Sydney. (Telegram.) Wellington, 26th June, 1899. Can you now advise me definitely whether Vancouver steamers are not to call at Fiji? [See No, 213, F.-6, 1899.]

No. 12. The Deputy Postmaster-General, Sydney, to the Secretary, General Post Office,. Wellington, (Telegram.) Sydney, 26th June, 1899..: Not yet definitely decided to cease calling at Fiji. Next steamer will call there.

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No. 13. The Secretary, General Post Office, Wellington, to the Deputy Postmaster-General, Sydney. Sir,— General Post Office, Wellington, 30th June, 1899. I have the honour to acknowledge the receipt of your letter of the 12th instant, and to thank you for the copy enclosed therein of the contract entered into by your department with Messrs. Burns, Philp, and Co. (Limited) for the conveyance of mails between Sydney and Vancouver. > I have, &c, The Deputy Postmaster-General, Sydney. W. Gray, Secretary.

No. 14. The Secretary, General Post Office, Wellington, to the Under-Secretary, Post and Telegraph Department, Brisbane. Sir,— General Post Office, Wellington, 30th June, 1899. I have the honour to request that you will be so good as to favour me with a copy of the contract entered into between your department and the contractors for the Sydney-Vancouver mail-service, under which the mails of your colony are conveyed to and from Vancouver. I have, &c, W. Gray, Secretary. The Under-Secretary, Post and Telegraph Department, Brisbane.

No. 15. The Hon. the Postmaster-General, Wellington, to the Secretary, Post Office, London. Sir,— General Post Office, Wellington, 17th July, 1899. I have the honour to acknowledge the receipt of your letter of the 24th May last, asking to be furnished with a table in continuation of that supplied in November last, showing the number of days occupied in the transmission to Melbourne, Bluff, Christchurch, Wellington, and Auckland of mails despatched from your office conveyed from Brindisi by steamers of the Peninsular and Oriental Steam Navigation Company. In reply, I have to inform you that arrangements are being made to furnish your office with the desired information monthly, including the arrivals of the mails by the steamers of the Orient line. The first table will show the arrivals of mails despatched by you from the 30th September last. The dates of arrival at Melbourne will not be shown, as the information would have to be obtained from the Post Office there, and this would unduly delay our return. Moreover, it is understood that these dates are supplied to your office direct from Melbourne. If you see no objection, I propose to dispense with the advice of outward and inward mails vid San Francisco hitherto sent to your office and incorporate the arrivals vid San Francisco in the monthly table referred to herein. I have &c, The Secretary, General Post Office, London. W. Gray, for the Postmaster-General.

INTEEPEOVINCIAL SEEVICE. No. 16. Warrant. To the Right Hon. Richard John Seddon, Postmaster-General. In pursuance of the provisions of section eight of " The Post Office Act, 1881," I, Uchter John Mark, Earl of Ranfurly, Governor of the Colony of New Zealand, do hereby direct you, Richard John Seddon, Postmaster-General- of the said colony, to enter into a contract on behalf of the Government of the said colony with the Union Steam Ship Company of New Zealand (Limited) for the carriage of mails each way between Lyttelton and Auckland, in performance of the interprovincial service connecting with the mail-service between Auckland and San Francisco, and also for the carriage of mails each way between Lyttelton and Wellington and Auckland and Wellington, in performance of the interprovincial service connecting with the mail-service between Wellington and Vancouver, for the period from the first day of April, one thousand eight hundred and ninetyeight to the thirty-first day of March, one thousand eight hundred and ninety-nine, both days inclusive: the contract to be subject in all respects to such terms and conditions as to you shall seem fit. Ranfurly. Given under my hand, at Auckland, in the said colony, this second day of December, one thousand eight hundred and ninety-eight.

No. 17. The Managing Director, Union Steam Ship Company, Dunedin, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Dunedin, 18th February, 1899. I have the honour to acknowledge receipt of your favour of 14th instant [see No. 48, F.-6, 1899], advising that the New South Wales Government has agreed to the sailing date of the San

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Francisco mail-steamer being made two days later than according to present time-table, the new running to begin with " Mariposa " from Sydney, 15th March. I have instructed our Sydney manager accordingly. In reply to your inquiry how we propose to make the connection between Wellington and Onehunga under the altered circumstances, I may say that we propose in future to despatch the "Rotoiti" (or other steamer) from Wellington on Saturday of the mail-week instead of Thursday, as at present, calling at New Plymouth on Sunday, and arriving Onehunga early Monday morning, to connect with San Francisco steamer sailing at noon. Consequent on this change there will be no connection at New Plymouth that week with the Friday's through train from Wellington, an alteration regarding which I am communicating with the Railway Department. I have, &c, T. W. Whitson, for Managing Director. W. Gray, Esq., Secretary, General Post Office, Wellington.

No. 18. The Secretary, General Post Office, Wellington, to the Managing Director, Union Steam Ship Company, Dunedin. Sir,— General Post Office, Wellington, 25th March, 1899. Referring to the cessation of the mail-service between Wellington and Vancouver, I have now the honour to advise you that the special coastal connection will not be required after that arranged for the distribution of the mails by the steamer due to arrive here on the Ist proximo. The connection for the outward despatch will cease with that for the mail leaving here on the 30th instant. I have, &c, W. Gray, Secretary. The Managing Director, Union Steam Ship Company of New Zealand (Limited), Dunedin.

No. 19. The Managing Director, Union Steam Ship Company, Dunedin, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Dunedin, 10th April, 1899. I have the honour to acknowledge receipt of your favour of the 25th ultimo, advising that, owing to the cessation of the mail-service between Wellington and Vancouver, the special coastal connection would not be required after that arranged for the distribution of the mails that arrived here on the Ist instant. Also that the connection for the outward despatch ceased with that for the mail which left on the 30th ultimo, for which information I have to thank you. I have, &c, T. W. Whitson, for Managing Director. W. Gray, Esq., Secretary, General Post Office, Wellington.

No. 20. The Secretary, General Post Office, Wellington, to the Managing Director, Union Steam Ship Company, Dunedin. Sir,— General Post Office, Wellington, 11th April, 1899. I have to invite your attention to the renewal of the coastal service for collecting and distributing the San Francisco mails, and to ask you to inform me on what terms your company is prepared to renew for another year. The outward service has worked well, but the inward running has not been so satisfactory. It will now be necessary that you provide on the Tuesday one of your own steamers for the inward mails. The present arrangement for the inward distribution is unsatisfactory, and has resulted in the " Glenelg " being employed ; and, moreover, the through service to Wellington is not performed whenever a Northern Steamship Company's vessel is made use of. I shall be glad if you will give this your consideration, and favour me with an early reply. I have, &c, W. Gray, Secretary. The Managing Director, Union Steam Ship Company of New Zealand (Limited), Dunedin.

No. 21. The Managing Director, Union Steam Ship Company, Dunedin, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Dunedin, 26th April, 1899. In reference to your letter of 11th April, asking on what terms we are prepared to renew the coastal services for collection and distribution of the San Francisco mail, I would point out that by the new arrangement of the San Francisco mail-dates our ordinary coastal service cannot be utilised, and we are required to provide a special service for both inward and outward mails, and this throws us completely out of our connection with the train-service to and from New Plymouth during the mail-week, and, in consequence, the bulk of the passenger traffic is lost to us,

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For the service you now ask we shall require a subsidy of £4,000 per annum, besides payment, at a rate to be arranged, for detention of coastal steamers at all times when delayed waiting for mails. I have, &c, James Mills, Managing Director. W. Gray, Esq., Secretary, General Post Office, Wellington.

No 22. The Managing Director, Union Steam Ship Company, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Wellington, 3rd June, 1899, As the result of communications with you, I am agreeable to amend the terms of our offer of 26th April for the coastal collection and distribution of the San Francisco mail as follows : Subsidy to be £3,500 per annum; inward mails to be brought to Wellington vid New Plymouth by steamers leaving Onehunga on Monday or Thursday, or to New Plymouth only by steamer leaving on Wednesday; outward mails to be despatched from Wellington on Saturday by steamer calling at New Plymouth Sunday. In the event of the Monday or Thursday's steamer from Onehunga being detained after her advertised hours of sailing £50 demurrage to be paid for first twenty-four hours, and a proportionate amount for any time beyond twenty-four hours. ■■: I have, &c, James Mills, Managing Director. W. Gray, Esq., Secretary, General Post Office, Wellington.

No. 23. The Secretary, General Post Office, Wellington, to the Managing Director, Union Steam Ship Company, Dunedin. Sir,— General Post Office, Wellington, Ist July, 1899. I have the honour to inform you that your amended offer of the 3rd ultimo for the coastal collection and distribution of the San Francisco mail has been submitted to the Postmaster-General, who directs me to inform you that the offer is accepted on the following conditions:— 1. That the steamers leave the Manukau so soon as the San Francisco mails are shipped—■ weather, tide, and bar being suitable. "\j; ,2. That the mails conveyed from Manukau by your company's steamers are to be brought on by them to Wellington; the detention at New Plymouth en route not to exceed three hours. 3. That when the inward mails arrive at Auckland on a Wednesday, they are to be forwarded by the Northern Company's steamer leaving that day, for transfer to the train at New Plymouth the following morning—either the ordinary through train or a special. 4. That for detaining the steamer at Manukau, when necessary, for inward mails, a demurragepayment of £50 for the first twenty-four hours, and a proportionate payment for any detention over the twenty-four hours, to be made. 5. That there be a steamer at Wellington to take on the inward mails to Lyttelton without delay. 6. That it is to be understood that the due day of departure from the Manukau with the inward mail is Tuesday; that the day of departure outward from Lyttelton is Friday evening, after the arrival of the express-train from Dunedin ; from Wellington, on Saturday afternoon or evening; and New Plymouth, Sunday ; and the arrival at Manukau early on Monday morning. 7. That should the time-table be altered enabling steamers to connect at New Plymouth with the through trains to and from Wellington, the question of subsidy to be reconsidered. 8. That the service cover thirteen voyages each way within the twelve months, dating from the departure of the steamer from Manukau on the 12th April last, and from Lyttelton on the 14th April. 9. Payment to be £3,500 for the twelve months, plus one-thirteenth of £500 for each occasion on which the steamer is required to leave the Manukau with the mails on a Tuesday. I have, &c, W. Gray, Secretary. The Managing Director, Union Steam Ship Company of New Zealand (Limited) * Dunedin.

No. 24. The Managing Director, Union Steam Ship Company, Dunedin, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Dunedin, 7th July, 1899. I have to acknowledge receipt of your favour of the Ist instant dealing with distribution of San Francisco mail, which has our attention, and to which an answer will be furnished later. I have, &c, W. Gray, Esq., Secretary, General Post Office, Wellington. C. Holdsworth Approximate Cost of Paper.— Preparation, not given; printing (1,425 copies), £i 14s.

Price 6d.] By Authority: John Mackay, Government Printer, Wellington.—lB99.