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Copy of a Letter from Hon. E. W. Staffoed to the Hon. Chas. E. Cooper. No. 216. Colonial Secretary's Office, Wellington, 20th October, 1865. Sic, — With reference to your despatch of the number and date quoted in the margin, requesting to be informed whether any further steps have been taken for carrying out a contract for Steam Postal Communication with Great Britain, via Panama, I have the honor to forward for your information the enclosed copies of " An Act to Amend the Panama Mail Service Act, 1864," which has been recently passed by the Parliament of New Zealand now in Session. I will take an early opportunity of further expressing the views of the Government of New Zealand on this subject. I have, Ac, The Hon. Colonial Secretary, E. W. Staffobd. New South Wales. \ "■"■■"■^~"~"■~""—"~~—~— ~""—"■~~~",—" No. 5. Copy of a Letter from Mr. Wilkens to the Hon. E. W. Staffobd. Wellington, 24th October, 1865. Sic — I have the honor to offer to the New Zealand Government, on account of the Governor of Tahiti, by whom I am duly accredited, the sum of one hundred thousand francs (100,000frs.) as a yearly subsidy towards the Panama Mail Steamers, provided the same call both ways and monthly at the Port of Papeete (Tahiti), carrying the Mails for the Colony. In accepting this proposal it will be necessary to know its taking effect three months before at Tahiti, to make arrangements, and stop the present Mail contract with the Coast and Tahiti, which is now carried on by the way of Payta (Peru). I have, Ac, The Hon. Postmaster General, C. Wilkens. Wellington. I No. 6. Copy of a Letter from thellon. E. W. Staffobd to Mr. Wilkens. No. 842. Colonial Secretary's Office. Wellington, 26th October, 1865. Sib — I have the honor to acknowledge the receipt of your letter of the 24th inst., offering, on behalf of the Governor of Tahiti, who has empowered you to do so, to pay the sum of one hundred thousand francs (100,000frs.) as a yearly subsidy towards the Panama Steam Mail Service, provided the vessels call both ways monthly, at the Port of Papeete (Tahiti), carrying the Mails for that Colony. I accept with satisfaction the offer made on behalf of his Excellency the Governor of Tahiti, in so far as the New Zealand Government is concerned, provided it is ascertained after a consideration of this proposal by the Panama Steam Company that the mail service between Sydney and Panama would nol '■<• injuriously affected by the vessels calling at Tahiti, but the Government of ISiew South Wales must concur in the proposal before it can be ratified and acted on ; it is also necessary that the Panama, New Zealand and Australian Royal Mail Company should be a consenting party to it. I should also point out to you that the British Government has undertaken to have the mails for the Australian Colonies conveyed free of charge to Colon, by the West India Royal Mail Steamers, it would therefore be necessary to ascertain whether that Government would undertake the same service on the same terms for the Government of Tahiti. Should you desire it this Government will bring the question under notice of the Imperial Government, and favorably recommend it. The transit expenses of mails across the Isthmus of Panama will have to be provided for by the Government of Tahiti, in addition to the proposed subsidy to the Mail Steamers. These charges are 22 cents per lb. for conveyance by Panama Railway, a moderate charge for lighthouse and wharfage, and the cost of a lighterage of two miles at Panama. I have, Ac, C. Wilkens. Esq., E. W. Staffobd. Wellington.

No. 63-106. 30th Sep. .65.

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